


NON PARTISAN LEAGUE 
THE HOME 




JNTITTEMORE 




Class. 
Book. 



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WRITTEN AND COMPILED BY 

J. N. TITTEMORE and A. A. VISSERS, O. Praem„ 

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Copyright 1922 

BY J. N.TITTEMORE AND A. A. VISSERS, O. PRAEM. 



©CI.A677527 

JUL13'?2 j(y 

Burdick- Allen Co.. Printers, Milwaukee, Wit. 



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*|^v HIS little book is ajfection- 
^^^ ately dedicated to tKe 
"Equity folks" of Wisconsin, wko 
are tke truest exponents of co- 
operation in the world. 



PREFACE 

31j* NfltHJaritaan foagu* w. ®tp> Horn? 

It is time for the American farmer to ask himself the question- 
whither are we tending? Meditating upon farm movements as they have 
come and gone are we, as farmers, ascending higher in the scale of real 
progress comparatively, or are we so to speak standing still! The farmers 
clubs of Illinois way back in the late Sixties and early Seventies — the Co- 
operative Movement in Kansas and Nebraska in the Seventies — the Farmers 
Alliance of the North and West and of the South in the Eighties — the won- 
derful though sporadic movement of the Grange North and South and East 
and West from the Seventies into the Eighties — the Farmers Mutual Benefit 
Association — the Farmers League, which stupidly undertook to play politics 
for all the other organizations and then the Patrons of Industry which follow- 
ed during the late Eighties and the early Nineties, all of which seemed to cul- 
minate in the Peoples Party Movement and then subside, taught the same 
general doctrines and all failed in about the same way. The Equity Society 
came along later with the prospect of eclipsing them all when, failing to 
grasp the full import of pending events they failed and the leaders of Marx- 
ian Socialism, seeing the opportunity grasped it to take the harvest unto 
themselves. We are face to face with another situation that is not unlike 
those which the farmers faced in the past. There is no organization, not even 
the Farm Bureau Movement that offers a single remedy for the amelioration 
of the American farmer that has not been proposed as readily and volubly 
by all of the other organizations hereinbefore mentioned. The superiority of 
the method proposed in presenting the educational program to the farmers 
themselves rests with the early organizations. Each and every organization 
that has ever made a remedial proposition to the farmers of America has 
placed cooperation as the cornerstone of its teachings. In no case do we find 
any attempt made at Coordination. There is nothing new under the sun. A 
reading of the history of Agriculture 2500 years ago among the Latins outside 
the walls of Eome, even to this day appears to be much the same. Farming is 
the primitive condition of mankind and whether working to dig his own living 
out of the ground or to dig his and the other fellows living out of the ground 
makes very little difference as the centuries go by. The serious question is — 
shall the tillers of the soil be owners of it and whether owners or tenants, 
shall they supinely stand by to be exploited? Of all the movements in the 
history of this Country the Non-Partisan League beats them all when it 
comes to the matter of exploitation of the man who tills the soil. This little 
book purposes in a general way to tell the story intending later to follow it 
up with a more extensive work on the history of agriculture and the general 
farm organization movement in Wisconsin. 



CONTENTS 

Foreword Page 1 

Chapter one (History) Page 9 

Chapter two (Leadership) Page 27 

Chapter three (The Pill Sugar-Coated) Page 41 

Chapter four (Dictatorship) Page 51 

Chapter five (Christianity — the Family and the Home) . Page 61 

Chapter six (Education and Press) Page 69 

Chapter seven (The League and the I. W. W.) Page 81 

Chapter eight (Single Tax) . Page 93 

Chapter nine (The Bank of North Dakota) Page 113 

Chapter ten (The Stores) Page 125 

Chapter eleven (Some Reflections) , . . . Page 137 

Chapter twelve (A Summary) Page 143 

Chapter thirteen (The Province of Government) ...... Page 147 

Chapter fourteen (Equity Business Plan) Page 161 

Chapter fifteen (In Conclusion) Page 173 



FOREWORD 

The object of this little book is to give the farmers of 
Wisconsin some idea of what the Non-Partisan League stood 
for in the home of its birth. True, it modifies its program in 
other states to meet the political hue and cry, or in other words 
it sets its sails to catch all the political winds. Its methods 
are those of a political panderer. 

Had North Dakota been as fertile ground as Wisconsin, 
for the propagating of Scientific Socialism under its own name, 
it is doubtful if Socialism would have needed the Sugar-Coated 
name the Non-Partisan League. Because Socialism was so 
far advanced in Wisconsin, the League Movement was "adopt- 
ed" by certain LaFollette Progressive leaders and in order to 
placate the Socialists and at the same time deceive the farmers 
as to the name, they "sugar-coated their Socialist pill in Wis- 
consin" with the name "LaFollette Progressive" and placed 
Senator Zumach of Milwaukee, a Socialist, in charge of their 
Political Movement. The superintendency of the Educational 
organization was under Beecher Moore, but Senator Zumach 
was selected to manage the first political campaign in Wis- 
consin. Later he moved to another state, like a potato beetle, 
carrying his blight with him. 

Socialism is contracting a migratory habit. It is just now 
masquerading — like a fugitive from justice — under many 
names. It is represented by the Soviet Movement in Russia, 
the Independent Movement in England, the Marxian-Socialist 
Movement in Germany, the Non-Partisan League in Dakota, the 
Lafollette Progressive in Wisconsin. Under such a riot of 
nom de plumes almost any bad political nostrum may be im- 



posed upon an unsuspecting people. This subject demands 
very grave consideration on the part of the electorate. It looks 
very much as though we must return to party obligation and 
responsibility, as necessary to bring about correct political ac- 
tion. Unless this can be brought about, we may deteriorate 
into mere factionalism multiplied until it becomes as hereinbe- 
fore suggested, a veritable political curse. Responsible partyism 
has been quite abolished in England. If it were not for the 
tremendous outstanding ability and preeminence of the Pre- 
mier of that country, it looks as though political anarchy 
might prevail. We should therefore, begin to take stock of our 
political affairs, here, at once. 

Madam Roland, passing to the place of execution, seeing 
the statue of Liberty exclaimed : "Oh Liberty, how many crimes 
have been committed in thy name !" So one, knowing the poli- 
tical situation in the Northwest and the deceptions which have 
been practised on the people, can rightfully exclaim : "Oh Pro- 
gress, how many crimes have been committed in thy name!" 
Even the Non-Partison League, with its program of Sovietized 
Reactionaryism made its advent among the farmers of Wis- 
consin in the name of Progress. Progress is the onward march 
of the human race towards a better and a higher civilization. 
Everybody is justified in trying to attain that end. In reach- 
ing that much desired goal, however, the individual must be 
alert and vigilant, "Eternal vigilance is the price of Liberty!" 

The pages of this little book are arranged in subheadings 
and under subjects affording the reader an opportunity to 
judge as to whether or not the League was undertaking to 
plant Scientific Socialism among the farmers of the North- 
west. If they come to the conclusion that that was the object 
of the League, then both the League program and persons con- 
nected with the conspiracy should be severely condemned and 



public credence withheld from them. If such deception, as has 
been practised upon the home loving farm people be encourag- 
ed, it is not possible to estimate the damage that may ultimate- 
ly be done. The object of this deception was to overturn the 
free owned home system in this country and to displace it 
with State Socialism, thus disrupting our American civiliza- 
tion. Such deception is on a par with the action of the Rebel 
Government, when during the Civil War, they conspired to 
scatter the deadly germs of scarlet fever and smallpox in the 
Union Camps to kill off the Boys in Blue. 

Let us take a momentary glance at what was in store for 
Wisconsin if the League program had unfortunately been 
pressed to a successful conclusion. Bear in mind that the 
program was adopted here by the leaders and by the very 
thinnest majority was prevented from being successful. The 
Home Builders Association of North Dakota was to usher in 
an era of cheap homes to be paid for upon easy terms by the 
people. Predatory Landlordism was to be given a perman- 
ent ticket of leave from the state. An auditing committee finds 
that 53 houses, constructed by the state under the Industrial 
Commission, cost approximately $175,000 or about 65% more 
than the estimates. Instead of the houses costing an average 
of about $5,500.00, they cost nearer double that amount. Fine 
prospect for a laboring man to purchase a home at that figure ! 

The same Auditing Committee finds that the Drake Flour 
Mill lost from 76c to $2.00 per barrel on the flour manufactured. 
The first year they lost approximately $18,000.00 and the sec- 
ond year approximately $22,000.00. The credit item, approxi- 
mately $19,000.00, with the exception of an item of less than 
$200.00, was held to be worthless and was ordered charged 
off; at least this is the news that we now have from North Da- 
kota. News now is at hand that "ouster proceedings" have 



been entered against certain Non-Partisan State officers who 
have been guilty of "misconduct, malfeasance and misdemean- 
ors." It is related that the charges are founded upon fraudu- 
lent contracts for state supplies, etc., etc. 

Some of our Wisconsin farmers may recall the cheap 
North Dakota flour that was to be given with each League 
membership. As we have it in mind, this was the offer made 
to farmers in Dodge and Jefferson Counties by an organizer 
for the League, a farmer now on the State payroll. 

Each and every activity of the League — each and every 
principle of administration pursued by it — as shown in this 
little book and as evinced by the general literature of the 
Northwest was to promote a Scientific Socialist State. The 
cost so far, as authentically fixed, of this experiment in Social- 
ism to the people of North Dakota is approximately equal to 
the value of one year's average total wheat crop produced in 
the state, basing the price to the farmer on $1.00 per bushel of 
wheat raised. This estimate will, no doubt, be exceeded. Does 
this not show the need of circumspection before accepting or 
adopting nostrums placed before us by those who cannot re- 
inforce their ideas or recommendations with concrete examples 
of successful experimentation? Farmers oftentimes compel 
leaders to resort to expediency in order to successfully hold 
their lines in action. Clear thinking and just action upon the 
part of the farmers themselves would prevent this thing. The 
experience of the Non-Partisan League farmer indicates, too, 
that there is a great risk in turning over an entire state, or 
even a society to the arbitrary control or management of one 
or two men, or even of a small group of men. Perhaps a good 
rule to follow is the old Yankee one of "making haste slowly." 
In any event, we may safely accept the admonition of Holy 
Writ "in the multiplicity of counsel there is wisdom" as being 



a sound doctrine to follow. The experience of the League farm- 
ers in the Northwest proves the necessity of careful examina- 
tion of all proposed schemes to prevent swindle. Honestly 
proposed, though impractical in application, many schemes in 
effect do swindle the farmer. A recent financial publication 
estimates that the people of this Country have been swindled 
out of more than One Hundred Million Dollars in the past 
two years and that a great percentage of this was taken from 
the farmers. Other swindles are now headed towards them. 
It must be expected, because these things usually follow as 
camp trailers, in the wake of War. 

The cloven hoof of Socialism was obtruded from under 
the skirts of the Non-Partisan League in Wisconsin in the 
Spring of 1919. The National Union and the State Union 
Boards of the American Society of Equity met in joint session 
in Madison in May of that year. Nearly all of the organizers 
of the Wisconsin State Union attended. It transpired that the 
League had heard of the meeting, so their State Manager, 
Beecher Moore with Glen Turner and one or two others got to- 
gether and determined to begin the traditionally disruptive 
work of Socialism and of the League. They offered at least 
seven of the most effective Equity workers positions with the 
League at salaries running from $250.00 to $300.00 per month. 
In addition, the League was to furnish an auto and all expenses 
were to be paid by the League and the service was guaranteed 
for a period of time. The "Equity" boys saw the "hoof" and 
none of them capitulated. 

From that time on — all summer and until the Equity 
Convention in the fall — the League worked like demons to 
spread discord and to disrupt the Co-operaUve Movement and 
displace it with Socialism. Up to within a month of the Con- 
vention the League was badly beaten. They made one convert 



about that time that nearly turned the trick for them. We 
now know how the conversion was brought about. This con- 
vert was told that unless he supported a certain League man 
for President of the State Union, that a certain criminal tran- 
saction that was known to a few would be revealed to all. They 
were flushed with the recent victory over Wilkinson in Min- 
nesota. When this Equity traitor who was President of an im- 
portant County Union went over he carried conviction to others 
who had been standing right and the work of disintegration be- 
gan to take place. This man was afterwards convicted of the 
crime. Fully a dozen of the leaders against Equity that sum- 
mer have served time in jails or penitentiaries, or are out under 
suspended sentence. 

The Milwaukee papers this morning, February 17, 1922, 
carry headlines that a certain prominent upstate Socialist has 
resigned from the Party, alleging Socialism to be too close to 
the Russian Sovietized product. During that summer this 
man issued a catechism on Socialism, spoke to the farmers 
of the state and made a considerable number of converts, es- 
pecially in Shawano, Marathon, Wood and Clarke Counties. 
This man is to be congratulated on reversing his position. The 
statement he makes with regard to Socialism and the farmer is 
an honest one and we are glad to note the position he now 
takes. Would that others would follow his example. 

What the farmers must look out for now is that the "Left 
wing snakes" or leaders do not simply change their skins to 
meet a situation, that grows out of the discredited Non-Parti- 
san League. This man, — never a left winger, — is sincere, but 
there are those who are not sincere — and are apt to change 
their skins only as a matter of political expediency. They are 
still wedded to Scientific Socialism. 



We have taken pains to prepare this little book as a re- 
minder that the most sacred obligation and duty of our citi- 
zenry is to keep in mind that our Country confers "equal 
rights" on all and protects no one in the right to "special privi- 
leges/' Just now we need the clearest kind of political think- 
ing and then sound action without passion will follow, — action 
coming as a result of the light of the wisdom that is born of 
clear thinking. In this Country we have no special laws for 
"the rich" or for "the poor/' but we have a constitution, found- 
ing our Republic, and born of the spirit of suffering and travail 
of the ages — as Lincoln said : "the only real Eepublic that has 
ever existed on earth" — and its Aegis reaches out to protect all 
alike. The Government may be very helpful to distinct sections 
of our people in times of emergency if we know how wisely to 
ask for such help and to hold our requests within the scope of 
the spirit and the letter of the constitution. Farmers have gen- 
erally paid dearly because of following after some Socialist 
will o' the wisp rather than hold firm to the precepts of our 
constitutional rights and guarantees. 

In conclusion, this little book, is offered with — "malice to- 
wards none, and charity for all," — itself a declaration of per- 
fect justice, but, so far as Socialism and the League program 
are concerned — or any person who preaches it — NO! They 
should get no quarter! With Roosevelt we say: "Our spear 
shall know no brother." 




CHAPTER 1. 

HISTORY 

A BRIEF OUTLINE OF 
THE NON-PARTISAN 
LEAGUE. THE PRO- 
GRAM OF THE LEAGUE, 
ATTEMPTS TO APPLY 
MARXIAN SOCIALISM 
TO THE FARMER. 

| HE ADVENT of the National Non-Partisan League 
into the Farm Movement of the Northwest took place 
early in 1915. Its national membership is about 
250,000. North Dakota was its birthplace. It is now 
operating in thirteen states. Its machinations in Washing- 
ton, Montana, South Dakota, Minnesota and Wiscon- 
sin held out hope of achieving ultimate success. Kan- 
sas, Oklahoma and Texas are now in process of organization. 
Iowa, Nebraska and Colorado constitute another group, where 
the work is being prosecuted. Walter Thomas Mills is now 
organizing California. Minnesota and South Dakota partly 
defeated the League by the dominant political party promising 
more than they may be able to deliver. It is time for honest 
dealing and no deception. Let us hold out no hopes to the 
farmers that cannot be fulfilled in fair degree. No matter 
how it is viewed, the State of Wisconsin is the fairest field they 
have for present success. It will be the spawning water this 
year for the propagation of the species. Through a very 
stupid piece of political work the League is in posses- 



sion of two-thirds of our Wisconsin State Government, 
not represented so much in the personnel as in the ag- 
gregate power they possess. The campaign is on and the ques- 
tion must be decided, as to whether or not this is a healthy sit- 
uation for Wisconsin. 

The League started ostensibly as a farm organization. 
It now turns out that this was a camouflage. Prom the outset 
its founders proposed to bring the farm movement under the 
sway of Socialism. There had been a prevalent notion in the 
minds of some earnest farm leaders that there was a platform 
upon which the working man and the farmer could stand side 
by side. As this movement gained momentum, certain Social- 
ist labor leaders began to intrude themselves into it. From 
the first this was viewed with suspicion by the farm leaders. 
Their suspicions proved well grounded. Where it was de- 
sired to increase the power of both the farmer and the labor 
ing man, in the field of economy and politics, for the good of 
the public and in the universal public service, they found their 
influence trammelled by these Socialist leaders. Townley and 
his cohorts, early scenting the trend of this movement, under- 
took to divert it and to guide it into the Socialistic camp. 

The causes which lead up to the formation of the League 
were varied — some economic and others political. The geo- 
graphic position of North Dakota contributed to it. Its situ- 
ation is unique, in that it has no harbors and no great railroad 
centers or terminals. It has a fine system of railroads, a large 
proportion of the mileage traversing the State as Through 
Lines, the Western terminals being either in Montana or along 
the Pacific Coast and the Eastern terminals at Duluth, St. 
Paul, or Minneapolis. 

North Dakota is a purely agricultural State. It is quite 
the opposite of Wisconsin in that regard. Contrary to the ac- 

10 



cepted idea, it holds a high rank in point of prosperity, wealth, 
and in the intelligence of its people. Herein no doubt lay a 
great deal of the trouble. Revolts, so history testifies, do not 
come from the illiterate or unintelligent but usually from the 
intelligent. The average intelligence of the people of North 
Dakota is high. North Dakota being a purely farmer state, 
with all important terminals outside its borders, the control of 
its grain market was unfortunately developed outside of it. 
North Dakota is also one of the first in rank in the production 
of small grains ; wheat, for instance. The rules and laws con- 
trolling the marketing of these small grains and by-products 
were beyond the reach of the farmers themselves and were cen- 
tered in these great terminal markets. 

Quite contrary to popular opinion, politics arise directly 
out of economic situations. You can no more segregate public 
economy from politics than you can the iris from the pupil of 
the eye. Economy and politics are completely enmeshed in 
the public weal or woe. The terms are in a way synonymous. 
As a result of this situation, the leadership of political thought 
became centered in small groups or cabals and in time the 
headquarters of these different groups were also located out- 
side of the State. To such an extent was this so, that it is 
said with some truth that the real capitol of the State was 
located in Saint Paul. The Non-Partisan League, it is said, 
removed the Throne Boom from the Merchant's Hotel in St. 
Paul, only to transfer it to their own National Office in the 
same city. 

Out of these conditions a political situation developed, 
managed by different groups of leaders on the one hand, and, 
on the other, was a determined and militant farmer electorate 
bound to overthrow not only the leaders but the system they 
represented. There were many real grievances. But no doubt 

11 



there were also fancied grievances, and the latter ofttimes are 
the most apt to create trouble, 

In the pioneer days capital was scarce in the Northwest. 
Development capital was largely drawn from the European 
centers of finance. British capital was potent in this section. 
James J. Hill was its principal representative. He worked in 
conjunction with Lord Mount Stephen. It was this capital 
that developed the Great Northern Eailway System. Henry 
Villard and Jay Cook & Co. financed the promotion of the 
Northern Pacific. This was an earlier and more difficult job. 
Dutch and German capital was drafted more or less into this 
great project, which at all times had the support of the United 
States Government in some degree or other. General Wash- 
burn finally completed his Soo Line project with British 
capital. 

The tracks of these roads pushed into grain lands for sev- 
eral hundred miles. It became a problem of farm development. 
The quickest money for the settler, was the money that was 
received for his annual grain crop, garnered from the first 
turn-ups of the rich sods of these Northwest prairies. Land 
was cheap ; in fact, the lands taken by the settlers were bought 
cheaply from the railroads themselves; were homesteaded or 
pre-empted from the Government. Stores and banks extended 
credit and carried the farmers for months and years at a time. 
There is no gainsaying that the pioneer economic structure of 
the Northwest was as ideal and happy as any hitherto known 
in the world. It was not perfect by any means, but it was, by 
comparison, very good. 

From the beginning the railroad companies provided de- 
pots and stockyards. The first was a requirement, and the 
other was furnished because it took, comparatively, but a small 
expenditure and was a mutual necessity. It was different with 

12 



the problem of small grain. It required millions of capital 
not only to construct elevators but for storing, holding and 
marketing the crops. It was, moreover, a question of export- 
ing a large surplus production. The problem required a capital 
in order to meet it adequately, nearly equal to that put into 
the first railroad projects themselves. There can be no ques- 
tion that it put these pioneer railroad magnates to their wits, 
to provide the capital. As a result a co-ordinated system de- 
veloped. 

To meet these unusual pioneer situations, separate com- 
panies were formed, TO CONSTRUCT ELEVATORS AND 
TO PURCHASE, STORE AND MARKET THE CROPS. 
The banker, at the local point, at the American terminal or at 
the European point of consumption, was the first element in the 
general success of the system. This is obvious. 

The farmers appreciated and understood the situation. 
They greeted these elevator companies as saviors. Woe be to 
that man who wanted political office in the real early days 
who dared oppose them. In hundreds of instances these cor- 
porations were invited by farm petitions to locate their plants 
at these country stations. These petitions were intended to 
bring in additional elevators to develope competition and in a 
way had the effect of finally overdeveloping it. 

The railroad companies not only granted the best sites to 
these elevator corporations, but also contracted to do all of 
those things then necessary and legal to be done. Many things 
were done in the pioneer days that had to be done, that are 
considered abuses now, but were considered Supreme bless- 
ings then. Preference in car distribution, preferential rates 
were the custom. The only question was — did our station or 
owr elevators get the preference? Farmers understood that 
this was to be done and they knew that it was done. They 

13 



knew that millions of capital were invested in these country 
elevators and that millions more of capital had to be invested in 
the terminal elevators; then billions of money and credit were 
necessary to aid the general grain marketing business, and they 
knew that unless it was adequately protected under the ethics 
and customs of that time, new capital would not be forthcoming. 
The service from the viewpoint of the capitalist was a co-ordin- 
ated service, and it was a mutual service as between the capital- 
ist and the farmer. It was so viewed by everybody. It was bene- 
ficial to the farmer, to the local community, to the bankers and 
their clients, to the railroads and to general commerce. It was 
— taken as a whole, — a great public wealth producing machine . 
All ideal arrangements sometimes run amuck. The sphere 
of activity and interest of the railroads became transcontinen- 
tal rather than local. The elevator companies became rich 
and powerful and many of them grew into a world influence. 
In the meantime, the Falls of St. Anthony were grinding out 
more flour than any place on earth. Herein entered another 
great controlling factor. Foreign capital also largely develop- 
ed this pioneer industry. The farmer became richer, more in- 
dependent and the old, helpful ways became more or less dis- 
trusted and fell into disuse. The pioneer democracy of the 
business system was vanishing; modern business took on a 
more scientific and dictatorial attitude. This had its ef- 
fect on the temper of the farmer, who began to grow suspicious 
that this early co-ordinated system of helpfulness was growing 
into a monopoly of power. Mutual interests are always 
best maintained by mutual service, which begets mutual con- 
fidence. This pioneer democracy in business was finally great- 
ly modified. As time went on, the old managers, who had 
deftly held the stage for years, passed out and, as the farmers 
would express it, "the new-fangled red tape ideas" were usher- 

14 



ed in. Vicissitudes, for a time at least, follow in the wake of 
changing order. 

For some years, the Northwest Canadian farmer had also 
been agitating along these same lines. The Canadian govern- 
ment had acceded to many of their requests, thus removing 
some of the dangers that threatened their economic structure. 
This example added some fuel to the flame here. In any event 
the unrest among the Northwestern grain growers became 
general, acute and militant. The cause of the political erup- 
tion or the advent of the League was the culmination of a long 
drawn-out fight. The warfare had centered around the problem 
of the storing, grading, and the transportation of small grain 
grown in the State, especially that of wheat. The farmers 
came to the opinion that they were in a vise. They believed 
they were the victims of a monopoly controlled largely in the 
offices of one or two railroads with headquarters in St. Paul. 
They believed also that they were the victims of not only the 
railroads but that the elevator companies and the banks were 
in a conspiracy with the railroads to defraud the farmers of 
the Northwest. 

As a result of these changes in the old order of things, 
the farmers interpreted the obstinacy of the opposite side, as 
evidence of their intention to monopolize the grain business. 
Grave dissatisfaction ensued, and a warfare between these 
one-time friends became the tragedy of the Northwest. 

It seems strange that such a situation should be permitted 
to develop. Why should there be a warfare between the co- 
ordinated branches of our business structure, the producer on 
the one hand, the distributor in the middle, and the credit 
system on the other? There must have been some grave mis- 
understanding. Herein lies the great danger to the future. 
No more sacred duty can devolve upon our citizenry than that 

15 



of bringing about a better understanding for the future be- 
tween these different groups. Unless it can be done, this Na- 
tion is just entering into the most extended economic warfare, 
backed up by political forces, that it has ever known. It were 
well if men of substance and of intellectual acumen could some- 
what change their attitude towards political matters. Politics 
is a sacred obligation devolving upon every American citizen. 
We have heard business men say, "We are business men and 
not politicians." Every citizen should be a politician. Un- 
less each and every citizen of this Country feels this great re- 
sponsibility and acts up to a high and generous standard in 
political affairs, there are serious breakers ahead of our cher- 
ished institutions. We now — altogether too much — treat pol- 
itics as we would a game of poker. 

It is obvious that we need reformers, not men who will 
tear down but build up; who will exalt not lower the moral 
standards, who will make this country a better, not a worse 
place to live in ; men who have a deep rooted love of and faith in 
Almighty God, not ranting infidels who imagine they can leave 
God and His commandments out of the equation and build up 
a new order of things on the principles of Marx and Lenine. 
Such reformers have only one ideal; how much money, how 
much power, how much self glory or personal aggrandisement 
they can get out of it. All too often, righteous zeal is struck 
down by business men because of not being posted and they 
act according to misinformation and thus act unjustly. 

All economic questions are purely political in the last ana- 
lysis and they are vital to the people's welfare. They must 
be treated in that way. We often fail in meeting situations 
effectively because we dislike to admit this truth. If one visits 
the Northwest at this time, hundreds of the very best busi- 
ness men will testify that they are reaping the storm as a re- 

16 



suit of ignoring this fundamental fact. Up to the advent of 
the League, North Dakota was overwhelmingly Republican. 
At one time a Democrat was elected as a protest. Finally , 
Socialism conquered the State and wiped out both parties just 
as it is now attempting to do in Wisconsin. The League, how- 
ever, just now appears to be passing into what may be called 
the Liberal party, which is backed by the Committee called the 
48. 

Let us admit that a crisis was at hand. All crises develop 
leaders. If men are not permitted to grow to meet expanding 
situations, then natural human combustion forces them into 
leadership. Human nature, if not equipped with a safety val 
ve, brings dire trouble. During the period of the early warfare, 
the farmers had developed a powerful farm organization in 
the Northwest; the American Society of Equity. It was an 
Economic safety valve, but the League plugged it. Its member- 
ship controlled the political thought of the State of North Da- 
kota ; but other forces took the offices and administered affairs. 
The farmer always wets his powder heap that way. The Equity 
program rested in the co-operative idea. The membership was 
large. It also controlled more than one-third of the receiving 
grain elevators, some eight hundred out of twenty-two hundred, 
It was doing a wonderful work but it lacked a powerful domi- 
nating leadership. The situation had, however, brought forth a 
leader in George S. Loftus. 

Let us digress a moment. It is to be regretted that the 
masterful man, James J. Hill, was leaving the stage of life 
about the time the trouble grew portentous. After all, the 
farmers of the Northwest imposed great confidence in Mr. Hill. 
The mastery of the man often appeared tyrannical, but there 
Was no man in the Northwest who in the last analysis could 
scent the essence of democracy as he could. He would ride a 

17 



situation up to the breaking point, but he was too wise to let 
the break come. While Mr. Hill was a genius, yet he was not 
apt to brook interference with his plans. For this reason, 
situations could develop under his direction better than men. 
When he passed out, there was no one who could just take his 
place, and this is one of the causes why Socialism was able to 
run over the fair prairies of the Northwest like a wildfire. 

To return to Mr. Loftus. He had incurred the displeas- 
ure of some big men of the Northwest He was a subor- 
dinate in the traffic department of different railroads cen- 
tering in Twin Cities. He believed and so stated to his 
superiors, that unless some of the requests of the farmers of 
the Northwest were accceded to, bad results would follow. He 
frankly told them, that they were sowing the wind and the 
penalty would be that they would reap the storm. Loftus, no 
doubt, meant to be friendly, though his actions appeared the 
reverse to the interests he represented. The trouble was mas- 
terful men had made up their minds to do things another way 
and Loftus was compelled to leave the railroad service. Some 
way or other, he did not know how to bend. This must have 
been regarded as unfortunate at least. Loftus was a hand- 
some young man, 6 foot tall, of great force of character, with 
extraordinary physical endurance, alert and able. He had a 
fine natural poise of manner. He had an intrepid spirit and a 
dominating personality. The elements of leadership were com- 
posed in him. He understood how, and to a great degree suc- 
ceeded, in unifying the farmer element in its opposition to the 
railroads and the banks. He saw the opportunity and grabbed 
the reins of leadership. He used the Equity Society as the 
engine with which to work. After he entered the work, there 
was no turning back. He labored in season and out of season. 
He wrote for country newspapers. He spoke in every nook 

18 



and hamlet of the Northwest. He became the idol of the farm- 
ers. He got mad and proposed a real economic revolution. 
Because of his great enthusiasm, combined with his knowledge 
of transportation questions and all of the things that apper- 
tain to it, together with his way of putting the subject to the 
farmer, he was able to create a mighty strong system against 
the power which, as he put it, was throttling the Northwest. 
Loftus encouraged and nurtured the co-operative idea among 
the farmers. He was the soul of that movement. He was not 
a Socialist and never would have been. Just as the movement 
was coming to fruition — just when it seemed success was as- 
sured — disease was seating itself in the physique of this splen- 
did man and within a short time he had to leave for the south 
to recover his health and died on the way home. 

This was a loss to the co-operative movement. As a result 
after his death, the way, paved by him, proved the pathway over 
which the Non-Partisan League came into power. It involved 
the final overthrow of the American Society of Equity by this 
Anaconda. The State of Wisconsin undertook to stem the tide. 
Not meeting the full assistance they should have received, fail- 
ure in some degree came there also. Had George Loftus lived, 
and had the old war-horse of Wisconsin, James H. Fitzgibbon 
survived until this day, the Non-Partisan League would not 
have raised its head above the dust in this state. During his 
lifetime, Loftus had many enemies. Virile, forceful men al- 
ways have. Intrepid leadership is often hamstrung, not by 
its enemies but by its weak-kneed cowardly friends. Loftus 
suffered and died for a cause. He certainly was not right in 
all he did but no doubt he did the best he could, and if the net 
result is not what it might have been it is as much a misunder- 
standing upon the other side as upon the side of Loftus. His- 
tory written of the Northwest which embraces the farm move- 

19 



ment must take into account the name, the character and the 
work of George S. Loftus. He will have a high place in it. 

Early in the history of the movement, selfish and extremely 
radical individuals pulled the American Society of Equity of 
North Dakota into the Bolshevik Camp, so to speak. The 
Equity legacy of Loftus in Minnesota fell to Col. R. A. Wilkin- 
son. Mr. Wilkinson had previously been employed as a Gen- 
eral Attorney by the Great Northern Railway. His abilities 
are transcendently big. He is a big man physically, mentally 
possibly the equal or peer of any man in the Northwest and 
above everything else was thoroughly imbued with the desire 
to see the farmers of the Northwest come into their own through 
Cooperation. He was himself one of the big farmers of the 
state of Minnesota. From the very beginning of his pres- 
idency of the Minnesota State Union, a certain crowd of 
these Sovietized vultures started to destroy him and in 
the end achieved their purpose. Mr. Wilkinson was grow- 
ing along in years. The fight finally resulted in his be- 
ing superseded by a professed Non-Partisan Leaguer and 
he practically retired from the Cooperative work and the 
result is — Minnesota is as badly disunited as North Dakota. 
They destroyed Col. Wilkinson's influence in the same way they 
destroyed every other leader who is against Socialism and for 
cooperation. It is doubtful if the farm movement ever had a 
more intrepid, brainy or well purposed leader than Col. Wilkin- 
son. He was not, however, able to withstand the onslaught of 
Townleyism and its yellow press. 

After Loftus died, the Socialists saw their opportunity to 
control the situation. During all of the time Loftus was work- 
ing, another man was growing into a career in the economic 
movement of the Northwest. He was born and reared on a Min- 
nesota farm. A. C. Townley, at heart, in sympathy and in 

20 



training, was the opposite of Loftus. Townley evidently al- 
ways was a Socialist and not a believer in the Co-operative 
movement. He was a student of Socialism. He trained him- 
self along those lines. Evidently he believed sincerely in the 
system known as Scientific Socialism. To prove this it is 
only necesary to say that immediately the opportunity came 
Townley undertook with all his force and power to marshal] 
the farm movement of the Northwest into a solid phalanx of 
Socialism. He believed in the communistic manifesto, for it is 
a matter of history that before organizing the League, Mr. 
Townley submitted his plans to the North Dakota Socialist 
Central Committee, and offered to that Committee its supervi- 
sion and control. It has been aptly stated that the Non-Parti- 
san League — or Townleyism if you will — "is the voice of Town- 
ley but the hand is the hand of Internationalism." Within a 
short time after Townley laid the foundations of the Non-Par- 
tisan League, the American Society of Equity, as a national 
organization, became practically extinct. This Iproved the 
League's animosity to the Co-operative movement. 

Previously, Townley had made an unsuccessful venture in 
farming. He owned and managed a farm on a large scale in 
North Dakota and failed to the extent of about $100,000. Af- 
ter having become bankrupt, he engaged himself actively in 
Socialistic propaganda. His mission was to convert the farm- 
ers of the Northwest to Scientific Socialism. His dream was 
to be the head of an empire composed of the farmers and the 
working men. He wanted scientific socialism to reign. The 
home as generated in America meant little or nothing to Town- 
ley. The homestead of Lincoln with its family circle and its 
sacred ties were of no interest to him when in conflict with 
Socialism. He took none of these things into consideration in 
the composition of the Non-Partisan League. He regarded 

21 



them simply "Social integers." What he wanted was a govern- 
ment of State power with himself as dictator. Had Townley 
not become over-ambitions, things might not be as they are to- 
day. North Dakota became too small for Townley. He began 
a systematic campaign for injecting the virns of hate into the 
farmers of other States. His scientific socialistic plan was to 
regenerate the farm business everywhere. The homesteads for 
which men died and — the lands that were made legal home- 
steads for the soldier boys of '61 to '65, — all of this was to be 
set aside for a State-owned and controlled land system, under 
the plan of Karl Marx and Henry George. Almost immediately, 
Townley silently stampeded the entire farm movement of North 
Dakota to his plan of Socialism. As previously stated, the 
League wiped out the American Society of Equity in every State 
but Wisconsin. There they were met and a battle royal was 
fought — such a battle as seldom takes place between two organ- 
izations of that kind. Townley for the moment was turned back 
from the State but because his program was fostered and 
preached in high circles, there is a good chance that it will suc- 
ceed finally in doing the job it set out to do. 

As previously stated, Thirteen States are in process of 
organization by the League. It is now quite militant, under 
one name or another, in those States, All of the States in the 
Northwest — and several in the Southwest — will be fighting 
ground during the next year. From the confines of Wisconsin 
will go forward the orders and the principles that are expected 
to dominate the political thought of the farmers of the North- 
west. When it was argued with Townley that it would be a 
difficult task to handle the farmers through Socialism, he 
replied : 

"Don't worry. I can take Socialism and sugar-coat it with 
the words 'Farmers National Non-Partisan League' and 

11 



every farmer in the country will take the whole dose and 

come back for more" 

This was his prediction seven years ago. It is becoming 
quite altogether too close to an accomplished fact. Had Town- 
ley been as wise at the last as he was adroit at the first, it is 
hard to say where the League program might end. Some of the 
causes which brought the League forward still exist and ought 
to be removed, so as to forestall the argument that there is 
further necessity for its existence. 

The program of the Non-Partisan League is essentially 
Socialistic and is rather a modified plan, or draws its sugges- 
tions at least, from Marx as to its industrial theories and from 
Henry George as to its land theories. Scientific Socialism 
cannot be achieved until land is owned and controlled by the 
State. Common ownership of land in the State Jim* h$en the 
dream of Socialists from the very beginning. Therefore, prac- 
tically, Townley is now engaged in jamming down the throats 
of the farmers of Wisconsin his sugar-coated pill of Socialism. 
Some of the program of the Non-Partisan League may follow 
out progressive political principles. Essentially, however, its 
basic program is pure State Socialism. 

As Bruce aptly remarks : 

"As a political movement it is an attempt to capitalize poli- 
tically the present unrest of the farmer, the present un- 
rest of the laboring man, the present general unrest and 
distrust of Government and of those in authority and the 
present general prejudice against organized capital; and 
by promising relief to all to organize discontent and to 
to make it serve both as a present avenue to political 
power for its leaders, and as an entering wedge for a 
communist America." 

The farmer was begging the bread of Cooperation from 
Lof tus ; Townley handed him the stone of Socialism. 

The Socialists are hoping that a situation might arise here 

23 



similar to that which existed in England a century ago, which 
will cause a bitter conflict between the farmer and laboring 
man as it did there, between the landed proprietor and the land- 
less, which will result in a nation wide demand for the nation- 
alization of the land in the country. The socialists having be- 
come opportunists are willing to accomplish their ends step by 
step and by socializing where opportunity offers, to make a 
patch work which may later be transformed into a complete 
Socialist garment. 

A very important factor marking the League's career lies 
in the fact of the Supreme Court of the United States on appeal 
from the circuit court of North Dakota holding that a State is 
quite the judge of its own laws. There is wisdom in the posi- 
tion of the Supreme Court. It puts a state on its honor. Con- 
fiscation of property is unconstitutional but taxation to the 
point of confiscation where such taxation is voted by the people 
themselves, may not be considered confiscation. Herein lies a 
grave suggestion and should wake up the people of Wisconsin to 
realize that they are sitting on the edge of a political volcano. 
According to the Supreme Court (in theory as we view it) if 
the people tax themselves to death, they must not blame any- 
body but themselves. Under a courageous and honest leader- 
ship the end of the League is easily seen in Wisconin. If, on 
the other hand, there be more week-kneed and spineless procras- 
tination, then the influence of the League or the policies it ad- 
vocates will ride on pell-mell. 

Business men, like farmers, oftentimes by evading a poli- 
tical responsibility, are uninformed as to the best policy to 
pursue in meeting pending emergencies. They immerse them- 
selves too deeply in their own business affairs. This is a great 
public loss. The people are entitled to their wisdom and judg- 
ment in public matters. It is, too, their duty to serve the pub- 

24 



lie in this way. Even as recently as ten years ago a person 
advocating the land mortgage banks and rural credit societies 
was called a socialist. Now the President of the United States 
is advocating the perfecting of those very institutions. After all 
the world moves. Had business men been paying due atten- 
tion to their patriotic obligations and had they kept abreast of 
the political thought of the world and the times, it is extreme- 
ly doubtful if the Non-Partisan League and its cohorts, with 
their Socialist State, would have been permitted to see the 
light of day. As it is, North Dakota teaches us a salutary 
lesson. 

What is necessary now, is a leadership based upon honest 
principles, with cards up on the table, and a leadership cour- 
ageous enough to meet the ends of justice. Nothing less will 
succeed now and nothing more or less will succeed in the fu- 
ture. After all, movements repose their power in leadership. 
Earnest students of men and the most thoughtful and painstak- 
ing historians agree in this conclusion. The creative genius 
does not work by chance. Dishonest leadership falls short and 
the work of honest leadership survives. Groaning necessity will 
not sit indefinitely on the doormat of opportunity. 

"An evil tree cannot bring forth good fruit; a good tree 
cannot bring forth evil fruit." 

This figure of the Savior was used to inculcate a most 
solemn message in the affairs of men for all time. Its lesson 
is "ever ancient, ever new." To disregard this precept is to 
invite disaster. We hear much about the game of politics. 
Men become inbued with the false notion that they can secret- 
ly manipulate affairs and direct public thought, along courses 
which serve their own narrow interests, and that the great 
mass of the people will not be the wiser. This idea that poli- 
tics is a game is the evil tree. Its fruitage is bad. Anybody 

25 



reading the history of farm movements for the past sixty years 
in this country, will become convinced that honest leadership 
has never been appreciated, and that their work has been final- 
ly overturned by this secret maneuvering against them, which 
is the fruit of the evil tree. It seems the leader, who plays the 
game, is the one who gets the reward as the world measures it. 
In other words, they "get the bacon." In this method, and 
under this false theory of political philosophy, Townley came 
into the honest farm movement of the Northwest and has re- 
tarded its progress possibly for the next quarter of a cen- 
tury. It will be well for the farmers to bear in mind the fur- 
ther solemn admonition of the Savior : "as ye sow — so shall ye 
reap." 



26 



CHAPTER II 

LEADERSHIP 

ALL THE LEADERS OP 
THE NO N-PARTISAN 
LEAGUE— RED CARD 
SOCIALISTS. 

Every movement is reflected in its leadership. That is 
axiomatic. It must be so. This granted, no other evidence 
should be required by reflecting farmers, than the list of lead- 
ers of the Non-Partisan League, who were in charge of the 
campaign of Education in the Northwest, which includes the 
State of Wisconsin. With but one exception, there is not a 
practical farmer on the list, and when that one does appear, 
he is a Socialist, so that makes the list of leaders of the Non- 
partisan League as a whole, believers in and practicioners of 
Socialism. Now as a matter of fact, there can be no objection 
to heading farm organizations with persons who are not so-call- 
ed "dirt farmers." They must select men with the broadness of 
vision that comes with mixing in the varied affairs of the 
world. Men on the farm are often too close to mother earth, 
their noses too much on the grindstone to give them that oppor- 
tunity they should have to brighten up their minds with the 
general information necessary to sustain a successful leader- 
ship. The farmers must brush up a great deal before they can 
successfully lead in great constructive movements, such as the 
Non-Partisan League movement might have been, or such as 
the Equity Society, The Grange or the Farm Bureau now are. 
This is why for more than fifty years the young men on the 

27 



farm have been going into the cities and by contact with the 
world, have been brightening and broadening their talents, so 
that they quite universally become the heads of our great bank- 
ing, railroad, industrial, commercial and other systems. The 
problem is to select honest, intelligent and courageous leader- 
ship, whether it be directly from the farm or otherwise, but in 
any event, the leadership of farm organizations should be close 
to the soil and generally speaking, should be interested in the 
ownership of the soil. 

When Townley was ready to launch the League, he secur- 
ed the services of two of the most prominent American Social- 
ists, who also are leaders of thought in the world, Charles Ed- 
ward Russell and Walter Thomas Mills. It is almost imposs- 
ible to believe Mr. Russell a revolutionary socialist. He is 
wealthy and a most agreeable gentleman. He is a keen student 
of affairs; he is a finished scholar and no doubt his appearance 
in North Dakota, and the work he did, convinced the farmers 
that the principles upon which the Non-Partisan League was 
to be founded, were the correct principles. However, Mills 
appears to be a revolutionary Socialist. It is not difficult to 
believe he would go the entire gamut, even to bloodshed, to 
achieve the ends of International Socialism. He believes and 
preaches the Soviet form of Government, whether in State or 
industry. These two men organized the Press Service and 
wrote most of the first laws, that were proposed to the North 
Dakota Legislature, or in other words, they made the first 
Socialist proposals that were to be the foundation of the Non- 
partisan League. One of their recommendations is reported 
to have been that "only Socialists should be put on guard" 
They argued that the land was becoming so high in price, that 
it was gradually going over to tenantry, and that now was the 
acceptable time for preaching all those doctrines, that would 



finally lead the American farmer into the camp of Socialism. 
That they intended to do their work well is evidenced by the 
following list of paid leaders and organizers. They took the 
sage advice of Washington, who said, "leave only Americans 
on guard." The advice of Eussell and Mills to Townley evi- 
dently was, "leave only Socialists on guard." 

THE FOLLOWING IS A PAETIAL LIST OF PAID 
ORGANIZEBS AND LEADERS OF THE NATIONAL 
NON-PARTISAN LEAGUE : 

1. — A. C. Townley, was head of the State organization 
department of the Socialist party in North Dakota. He was 
convicted for disloyalty. 

2. — Arthur LeSueur was national committeeman of the 
Socialist party. Went to jail with the I. W. W.'s in the 
1913 riots in Minot. Became a member of the "inner circle"— 
the national executive committee of the Socialist Party in 1915 
and was Presidential candidate of the socialist Party in 1916. 
3. — A. E. Bowen was "district organizer" — Socialist party 
under A. 0. Townley. He was candidate for State Superin- 
tendent of Public Instruction in 1908 and for Governor in 
1912, and was nominated (not elected) for membership in the 
National Executive Committee in 1911. Bowen conceived the 
Non-partisan idea; Townley executed it. 

4. — D. C. Dorman was also "district organizer" under A. 
C. Townley, also a member of the "executive committee." Went 
to jail with LeSueur and the I. W. W.'s in the Minot riots of 
1913. 

5. — Beecher Moore, "district manager" under A. C. Town- 
ley, was Socialist candidate for Governor of Minnesota in 1908 
and polled 6,516 votes out of a total of 267,266, ( Socialism 
was not so popular while operating under its own name. 
(Moore was also State Manager in Wisconsin.) 



29 



6. — "Yours for the Revolution" — Leon Durocher— was 
another "district manager" under A. 0. Townley. He was on 
the payroll of the national Socialist organization as lyceum 
advance organizer in 1911. 

7 # — n # a. Mason, Socialist secretary of Wimbledon local 
in 1914 (see the Jan. 23, 1914 issue of the "Iconoclast"). He 
became secretary to Governor Frazier. 

8. — L. L. Griffith was a member of the "executive com- 
mittee" of the Socialist party. After going to jail with Le 
Sueur, Dorman and the I. W. W.'s, the party honored him 
with a nomination for Congress in 1914 while Townley, Le- 
Sueur and Bowen were candidates for the State Legislature. 

9. — G. H. Griffith — also a "district organizer" under A. 
C. Townley was secretary of Foot Hills Socialist local in North 
Dakota. Became and is now state manager for the Non-Parti- 
san League in Minnesota and signs his name this way. 

10. — O. M. Thomason, ex-preacher, ex-lawyer, and ex-edi- 
tor, is one of Townley's ablest lieutenants. One of his expres- 
sions was that Townley's followers would "set the state of 
North Dakota up on edge with revolution" if they were not 
able to get what they wanted in House Bill 44. Thomason has 
always been a radical and has preached Marxian Socialism in 
North Dakota and other states for years, and was ordered by 
Townley to conduct the campaign. He w^as in the midst of the 
I. W. W. riots at Minot some years ago and was for some time, 
the editor of the "Iconoclast," the state organ of the Socialists 
published at Minot. He was the principal man sent into Wis. 
consin to get "Tittemore's hide." Later Senator Zumach of Mil- 
waukee assumed the role. 

11. — H. G. Teigan held various positions in their North 
Dakota Socialist organization, He was editor of the "Icono- 
clast," former State Secretary of the Socialist party in North 

30 



Dakota, and now "General Secretary" at National Headquar- 
ters for the Non-Partisan League. 

12. — L. N. Sheldon, secretary, of Williston Socialist local 
and a delegate to the famous St. Louis convention. 

13. — O. E. Loftus, Socialist candidate for Governor of 
Minnesota in 1906, and candidate for Senator from Nelson 
County, North Dakota, in 1914. Now State Bank Examiner 
under appointment by Governor Frazier. Introduced Hay- 
wood at speech in Aneta 1911. 

14. — Thos. Hennessey, Socialist candidate for State Re- 
presentative in 1914. 

15.— E. R. Fry received 8,472 votes out of a total of 107,- 
174 in North Dakota in 1916 as Socialist candidate for the 
United States Senate. 

16.— Axel Strom, Socialist candidate in North Dakota for 
State Representative in 1912 and again in 1914 (Williams 
County). Became state manager for the Non-Partisan League 
in North Dakota and was also prominent in the "Consumer's 
Stores Company." National Committeeman, Socialist party 
1912. 

17. — F. B. Wood, Socialist candidate for County Auditor 
in 1914 ; a former member of the "executive committee" of the 
Socialist party (see "Iconoclast" of March 26, 1915.) 

18. — M. A. Hoghaug, Socialist candidate for State Repre- 
sentative in North Dakota in 1914, became tax supervisor when 
Socialism adopted its new name. 

19. — S. A. Smith, Socialist candidate for Presidential Elec- 
tor in North Dakota in 1912. 

20. — R. Goer, Socialist candidate for Attorney General 
of North Dakota In 1916. 

21.— R. H. Walker, delegate to the 1914 North Dakota 
State Convention (held Feb. 1, 2 and 3). 

31 



22. — R. W. Morser, formerly of the Bowman, North Da- 
kota, Socialist local, became state manager for the Non-Par* 
tisan League in Colorado, a position which he still holds. 

23. — Ray L. Cooper — another "district organizer" under 
A. C. Townley, while Socialism operated under its own name, 
was a candidate for State Representative in 1914. 

24. — O. S. Evans, secretary of Bowman, North Dakota, 
Socialist local in 1913 (see "Iconoclast" of April 11, 1913). 
Now state manager for the Non-Partisan League in South 
Dakota. 

25. — O. A. Hall, secretary of McGregor Socialist local, in 
North Dakota in 1913 (see "Iconoclast" of April 11, 1913.) 

26. — H. L. Elliott, Socialist candidate for State Auditor of 
North Dakota in 1912, ex-member of the State Executive 
Socialist Committee, and Socialist candidate for State Re- 
presentative in 1914. 

27. — R. H. Grace, Socialist candidate for State's Attor- 
ney of Renville County, North Dakota, in 1912 and 1914. 

28.— W. G. Johnson, Socialist candidate for Presidential 
Elector in 1912 and for Secretary of State in 1914, became one 
of the leading figures in the Townley "Consumer's Stores Com- 
pany." 

29. — Gates E. M. Young presided at a "Bowen for Gov- 
ernor" meeting at Milton, North Dakota, in 1912 (see "Icon- 
oclast," Sept. 27, 1912.) He became "associate editor" of the 
Minneapolis-St. Paul American in 1917. 

30 — J. E. Kulstad, Socialist candidate for Lieutenant 
Governor of North Dakota in 1910; for Commissioner of 
Insurance in 1912, and for State Auditor in 1914. He was 
the representative of the "Iconoclast" in eastern North Dako- 
ta. Is now office manager in their Idaho (or Montana?) 
headquarters, and signs his name this way. 

82 



31. — H. R. Martinson, who also went to jail in the I. W- 
W. riots, was Socialist candidate for Secretary of State in 
1916 and a delegate to the famous St. Louis convention. 

32. — Walter Thomas Mills, most widely known Socialist 
teacher and preacher in America, head of the Socialists In- 
stitute at Berkeley, California; under whose direction the 
North Dakota Non-Partisan League laws were constructed, 
and passed. The Appeal to Reason said: 

"This paper feels particularly gratified axid self-congratula- 
tory, over the legislative program announced by the Non- 
partisan League representatives who control the State 
Government of North Dakota. This radical program in- 
cludes the very things the Appeal has been fighting for, 
incidentally it was prepared with the advice of an Appeal 
man, Walter Thomas Mills, a well-known Socialist lec- 
turer who conducted correspondence courses for the read- 
ers of the Appeal and who has, for years, been a contribu- 
tor to the columns of this paper" 

Mills also conducted courses of lectures for the Secret 
Caucus members and at the State Penitentiary for the inmates. 
33.— David C. Coates, prominent Socialist, elected lieu- 
tenant governor of Colorado, and mayor of Spokane, Washing- 
ton, on Socialist tickets. First business manager of the Non- 
Partisan League; was the moving spirit in the first Townley 
legislature and instituted the Secret Caucus scheme. 

34. — Rev. Geo. A. Totten, leading Socialist of Bowman, 
N. D., close friend of Kate Richards O'Hare; Chairman of the 
Board of Administration, the Townley created machine, which 
now controls the public school system of North Dakota. Tot- 
ten is said to be willing to take the responsibility for the Free 
Love and un-American publications being paced in the librar- 
ies of their schools. 

35. — Walter Liggett, the man, who, Townley stated, was 
a Socialist when under oath before the U. S. Senate Commit- 



33 



tee, and who has been lecturer for the League, their publicity 
man in St. Paul, afterwards at Fargo, and after that a state 
manager of League activities on the coast. 

36. — J. W. Brinton, at one time general manager of the 
Consumer's United Stores Company, and more recently head 
of the strong Townley weekly Socialist papers, about 50 in 
number. 

37. — J. Arthur Williams, lifetime Socialist, organizer and 
speaker for the League, one time Socialist candidate for mayor 
of Grand Forks. Williams refused to stand up at a public 
meeting during the war, when the orchestra played "The Star 
Spangled Banner." 

38. — John D. Brewer, organizer and lecturer and state 
manager for League in various states, formerly a member of 
the Kansas Legislature, being elected as a Socialist. 

39. — Joseph Gilbert, in charge of the organizer's work at 
St. Paul headquarters, was an active Socialist in the East be- 
fore being brought to his present duties. He had much to do 
with the details and was chairman of the St. Paul meeting 
made famous by La Follette. He is a lawyer, never was a 
farmer, nor were any of the others, and has been active in lin- 
ing up the radical labor vote, taking a part in the agitation of 
the Twin Cities' street car strike. He was recently arrested in 
Minnesota charged with obstructing the army draft. He is 
now serving out his sentence. He is the man, who in the Mil- 
waukee meeting, threatened to crush Fitzgibbons and Titte- 
more if they dared oppose Townleyism. 

40. — N. S. Randall, Non-Partisan League Lecturer, ar- 
rested, convicted and sentenced, in Minnesota, during the war, 
for seditious utterances. He was active in organizing Outag- 
amie and Waupaca Counties for the League. 

84 



41. — Thos. N. Keyes, treasurer of all of Townley's organi- 
zations, always a close friend of Townley and Coates. 

42. — J. C. Duncan, one-time Socialist mayor of Butte, 
Montana, which city he "left" with a record, and was made 
manager of state organizations for the League, and recently 
transferred to South Dakota. 

43. — j. a. Currie, Socialist spellbinder in Oklahoma and 
Texas. Working for the League in North Dakota, South Da- 
kota and Nebraska. 

44.— Howard Wood, Lieutenant Governor, one of the ori- 
ginal members of the League; party Socialist, 

45.. — g # a. Smith, Beach friend of Townley, officer of the 
national committee of Socialist party for North Dakota in 
1912. 

46. — L. L. Randall, party Socialist, from the Pacific coast, 
well known Socialist orator and organizer. 

47. — Alfred Knutson, lecturer and organizer; North Da- 
kota party Socialist, who was tarred and feathered by a mob in 
the State of Washington in 1913 for alleged seditious utter- 
ances. * 

48. — Ernest O. Meitzen, party Socialist, prominent in the 
councils of the party in Texas for years. Has been in North 
Dakota in 1913. 

49. — O. Meitzen, father of E. O. Meitzen, also a Texas 
Party Socialist, and former editor of "The Rebel," a Socialist 
publication, barred from the United States mail by executive 
order of the federal government ; editor of the German edition 
of the North Dakota Leader. Conducted League meetings in 
German districts in North Dakota and Minnesota, where mem- 
bership gains were heavy. 

50. — Thos. R. Hickey, one of the best known Socialists 
of the South, was associated with the Meitzens in the publica- 

31 



tion of "The Rebel/' at Halletsville, Texas. "The Rebel" was 
the first paper in America suppressed by the Postal authorities, 

51 # — Wilson Woodrow, party Socialist, prominent in the 
Socialistic movement of Oklahoma, for many years. Publisher 
of a radical weekly paper called "Woodrow's Magazine." An 
ex-minister. 

52. — William Lemke, a lawyer of Fargo, abandoned his 
practice there and spends most of his time at headquarters in 
St. Paul, being one of the executive committee of three which 
controls the National Non-Partisan League under Townley's 
domination. Lemke was chairman of the Republican state 
central committee in North Dakota and was the chief instru- 
ment in the "steal" of that organization for the Townley 
league. He did more in naming the candidates on the state 
ticket in 1916 than any other person besides Townley. He 
named his law partner, Judge J. B. Robinson for the supreme 
bench and has secured a berth on the state board of regents 
for his brother-in-law, Robert Muir, through the machinations 
of Governor Frazier. It is said Lemke first suggested the 
name of Frazier for the office of governor. 

53. — W. H. Talmadge is another of the "preacher fellers" 
who hag gone to Socialism. He tried to do Kansas before 
Townley got in there, but he was induced to be good and he is 
now one of the best paid speakers and organizers. 

54. — J. P. Craig, former president of the Barber's union 
in Grand Forks, North Dakota, and a Socialist, has been work- 
ing in Texas. 

55. — Joe Richardson, a socialist who worked in the Bis 
marck district. 

56. — Ray MeKaig, a radical, is probably the only simon- 
pure farmer among this army of speaker-organizers He has 
been a preacher and probably still holds his right to enter 

36 



some pulpits. He is master of the North Dakota State Grange. 
McKaig has posed as one "on the inside/' but the League 
heads keep him busy on the "frontier" so that he does not butt 
into the "inside game" very much. His talks are along co-op- 
eration and semi-conservative lines and this makes him valua- 
ble as a "John the Baptist." In fact, in the first meetings in 
Colorado, McKaig made a great splash in the Denver papers 
with his proclamation that he was the "John the Baptist of 
the farmers' movement" which he said was going to put the 
mining and every other huge industry in the state under state 
ownership. McKaig was secretary of the Republican state 
central committee of North Dakota when the party organiza- 
tion was "stolen" by Townley and Lemke. 

57. — Kinney Yenawine, a former boiler maker and party 
Socialist of Minneapolis, a labor union man. It is reported he 
helped to import the two thousand I. W. W. floaters, which 
act won the election of Van Lear for mayor. Organizer in 
Minnesota until he became involved with Wassing, Secretary 
of Mayor Van Lear. The latter received seven years in the 
State penitentiary, and Yenawine, was shipped to Nebraska, 
where he worked as organizer. 

58. — H. L. Richardson, party Socialist, and radical. Has 
sold Socialistic literature for many years and was appointed 
by the national Socialist party to get their literature into the 
public libraries. Also a Socialist organizer in North Dakota 
when the League was organized. One of its first organizers. 
Has a brother Joe, who works with him, also a Socialist. 

59. — M. L. Goodyear, party Socialist and lecturer. Was 
the first Texas manager. 

60. — M. Foote, another party Socialist succeeded Good- 
year, as manager of the Lone Star State. 



37 



61. — H. J. Greenwood, party Socialist for 25 years, was 
for a time in the national office, but is now in charge of the 
Nebraska state office. 

62. — Jesse Johnson ran for Congress on the Socialist 
ticket in Kansas. A well known party Socialist. At present 
manager for Nebraska. 

63. — Albert Fox. North Dakota party Socialist. He 
is one of the two dummies who hold title to the Non-Partisan 
Leader for Townley. One of the first organizers, but now em- 
ployed at national headquarters. 

64. — John Thomson, former editor of Pearson's the Social- 
ist magazine, published in New York. An extreme Radical- 
ism He prevented the suppression of the Leader in 1917 by 
entreating public men in Washington to arrange an interview 
between Townley and President Wilson, Nov. 30, 1917. 

65. — Fred Argast, party Socialist, registered as such in 
Burleigh County. Is an active organizer in this state for the 
League. 

66. — Paul H. McOonnell, party Socialist and League or- 
ganizer; under oath admits conspiracy with Townley to evade 
the draft, by securing appointment from governor. 

67. — J. O. Bentall, Socialist candidate for governor of 
Minnesota, convicted of disloyalty and sent to Port Leaven- 
worth for five years. 

68. — James A. Peterson, Socialist candidate for U. S. 
Senate in Minnesota, convicted of disloyalty in Minnesota and 
sent to prison. 

69. — Wm. C. Rempfer, elected judge on the Socialist ticket 
in South Dakota with the endorsement of the Non-Partisan 
League. 



38 



70. — Senator Zumach the Socialist of Milwaukee, was 
chosen to manage the League in Wisconsin. He is the man 
who designated the candidates to run under the League banner. 

71. — Glen Turner — Socialist lawyer (sic) — who it is re- 
ported cleaned up $6,000.00 as his commission on League mem- 
berships. He waged the warfare all of the summer of 1919 
against Equity and Tittemore. 

72. — Lester Barlow — a socialist orator, and organizer for 
the League. 

(Note — The Socialist labor leaders to a man supported the 
League and its program.) 



39 



CHAPTER III 

THE "PILL" SUGAR COATED 

TOWNLEY FOOLS THE 
FARMER. HOW THE 
SOCIALIST PILL WAS 
SUGAR-COATED WITH 
A FARMER NAME. 

All leaders of Socialism, whether European or American, 
have from the beginning declared for the nationalization of the 
land. Confiscation of the land to the State without compensa- 
tion is a cardinal doctrine of their teachings. This is the 
Single Tax as explained in another Chapter. To the Ameri- 
can farmer this doctrine would not sound well. In fact, the 
word "Socialism" they knew to be unpopular with the Amer- 
ican farmer. It was for this reason that Townley and other 
exponents of Socialism in the North-West, decided that it 
would be necessary, in order to gain their ends, to use ex- 
ceptional means. In some respects the Non-Partisan leaders 
were bold and evidently overstepped the mark. None of them 
being practical farmers, they miscalculated the psychology 
of the situation. In the first place, the leaders and organizers 
accepted for work, were red card Socialists of the extreme 
type; men who were materialists and atheists; men and 
women — if you will — boasting of their disbelief in God. Each 
and every organizer who was officially commissioned to do 
the work of the League, was a true and tried believer in In- 
ternational Socialism. 



41 



Instead of the League starting out in an honest way to 
educate young farmers, to regenerate and re-organize, if nec- 
essary, the social and political structure in which they had to 
live, the leaders of the League used the medium of radical 
Socialist papers in the United States to secure organizers. 
Their first advertisements appeared in the "Appeal to Rea- 
son," a paper of the very worst type from every point of view. 
Then the National Non-Partisan League conducted a League 
School for these organizers. Anyone who desires to know the 
policy of this school will find the evidence of it in the case of 
Ray McKaig vs. Frank R. Gooding in the District Court of 
Ada County, Idaho. The testimony in this case shows that 
Arthur Le Sueur was the president of this school. Le Sueur 
was also president of the Socialist College, located at Girard, 
Kansas. Le Sueur was very active in educating the organizers 
of North Dakota. According to the testimony, he sent out 
numberless mimeographed copies of speeches, suggestive of 
the propaganda to be used, in order that they might be well 
posted in the best way of impressing the farmers with the 
League program. Before organizers were commissioned to do 
business for the League, they were to receive certificates re- 
commending them as qualified for the purpose. The testi- 
mony of McKaig is to the effect, that he read some of these 
lectures, and that they were as near anarchism as anything he 
ever read. McKaig further testified that he heard Le Sueur 
and others make speeches in Mackenzie, Renville, and Divide 
Counties, in which they assailed the Government of the United 
States and preached class hatred, in fact, advocated force 
where persuasion would not gain the end. It was about this 
time, or in the beginning of the inauguration of the League's 

42 



work in North Dakota that Townley gave voice to the memor- 
able statement: 

"I can take Socialism and sugar-coat it with the words 
'Farmers National Non-Partisan League' and every farm- 
er in the Country will take the whole dose and come back 
for more." 

His prediction was correct. It became an accomplished 
fact, Wiconsin farmers paid approximately $250,000.00 in a 
brief period of time for a rich dose of this same sugar-coated 
pill. It is not pleasant for people to be told of the anesthetic 
used to overcome their common sense. Men of spirit and sen- 
timent, who are double-crossed, always prefer to let it drop, 
even thouerh it embitters their lives for a Ions; time to come 
and brings a rift in the lute forever after, unless good judg- 
ment is exercised. It is. therefore, not r>lea$ant to reveal the 
methods used in administerinG' the anesthetic, as indicated by 
the following letters, all of which original documents are ex- 
tent and on flip and mav be consulted at anv time. The fol- 
lowing are quotations from a letter written by Leon Durocher, 
or»p of the League organizers: 

"My dear Sir: 

"Tours of the 11th fast received and contents care- 
fully noted. The Socialist party of North Dakota is a 
thing of the -past. The League has done more in five years 
of its existence than the Socialist party could have done 
in twenty-five years, I believe. 

"I have held different positions with the League, 
from organizer, State Manager, General Manager of Or- 
ganization work and Lecturers, I resigned as General 
Manager in the Spring of 1917, and have refused to as- 
sume the management of any department since. 

"I am, 

"Respectfully, 

Leon Durocher." 

43 



Here you have the direct connection between the Non-Par- 
tisan League and Socialism. Again we quote from another 
letter, because it is proof conclusive that the League and So- 
cialism are to all intents and purposes one and the same thing : 

"St. Paul, Minn. 

808-La Salle Ave., 

„,, , a . February 16, 1920. 

"My dear Sir: J ? 

"I have received your letter of the fifth instant and have 
ordered some literature sent you from the National of- 
fice. It is a fact that the Socialist party in North Dakota 
has disappeared — ******i n North Dakota the Socialists 
were largely the promoters of the Non-Partisan League. 
I may say that it was A. E. Bowen instead of Townley 
who first advocated the idea and it was Bowen who pur- 
suaded Townley that such a thing could be done. (Bow- 
en is the man who came to Wisconsin last Fall in the in- 
terests of the Non-Partisan League Campaign ).***Bowen 
for years has been a Socialist. The opposition, you un- 
derstand, makes use of such facts to discredit us. Our 
position is this ; if we cannot take the whole loaf, we will 
take such proportion as we can get. Socialism is largely 
a philosophy of Government. The Non-Partisan League 
stands for a program which can be put over with the 
least possible delay. It is Socialism in action, concen- 
trating its attack on the weak points in the present com- 
mercial and industrial system. 

"The Socialist organization has not disappeared from Min- 
nesota, It may federate with us.****In Wisconsin the 
Socialist party will, I think, be the real force in the poli- 
tical, economic and social change there.***The Socialist 
party is needed and must not be abandoned, but we must 
work out a program of federation. As a student of the 
Socialist philosophy you understand that the Socialist 
party, as such, must disappear when Socialism becomes a 
reality and finally the industrial state will have no place 
for the political parties. 

(It is easy to discern that this man is candid; the Social- 
ist state overturns all modern civilized and Christian sys- 
tems. ) 

44 



"The outcome is the abolition of the political state. This 
is sometimes called "Industrial Democracy." The Non- 
Partisan League is headed in this direction. Its theories, 
though, are based rather upon evolution than revolution. 
***The tactics of the League may be different in different 
states. (Here you get a definite statement of the Social- 
ist policy — any means to an end. ) Again, it is very diffi- 
cult to be dogmatic in these days and say definitely what 
the course of evolution will be. In some states, especial- 
ly in those states where the Socialist party is weak, the 
Socialist party may cease to exist. In other words, it 
will be the deciding factor. You may anticipate a feder- 
ation of the different liberal and radical forces in the 
United States. On this I would refer you to the work of 
the Committee of 48.***If there is any more information 
you wish, I shall be glad to give it. 

Very truly yours, 

Gates E. M. Young." 
The following is a letter written by Judge Wm. 0. Kemp- 

fer of Parkston, S. D., a disciple of Townley, working in that 

State. 

"Parkston, S. D., Feb. 4, 1920. 
"Answering your letter of the 15th, the Socialist Party 
has never been strong in agricultural communities any- 
where in the world, not even in Russia. The greatest 
problem which Lenine is now facing in that Country is 
the peasant. Unless he secures the hearty co-operation 
of the agricultural districts in ushering in the Socialist 
Commonwealth, he will fail and chaos will result and this 
problem is causing him more worry than the armies of the 
Counter-Kevolutionists and the Allies.***The League 
makes it a personal financial inducement for the farmer 
to join, promising him more for his produce through co- 
operative handling of his produce. This is the appeal of 
the League and the secret of its success. It shows the 
farmer the economic benefit he will derive by this re- 
stricted co-operation. (Here again — any means to an 
end.) But the great hope in the League from the Social- 
ist standpoint is that the lesson so learned by the farmer 

45 



will not be lost and will eventually induce him to sup- 
port, or at least reconcile him to the general socialization 
of all industry, including his own***Anj further inquiry 
will be cheerfully answered/' 

(Note how the League seems to be in communication with 
Lenine. ) 

"Wm. C. Rempfer." 
April 12, 1920 he wrote as follows: 

"My dear Sir: 

"Your letter of the 9th at hand.**** When you rea- 
lize that the League program is a segment of pure social- 
istic doctrine, you will see that it is not strange that So- 
cialists organized the League or that it is at present dom- 
inated by Socialists .***The League organizers, or at least 
most of them, are strong Marxians and believe in the dic- 
tatorship of the proletariat. They are organizing the 
farmer branch of the proletariat and educating them in 
the process after they get them in. (Something for the 
Wisconsin farmer to think about).***! do not believe the 
Socialists are sacrificing principle in working through 
the League. They are simply adopting different tactics, 
always keeping in view the Socialist aim, namely, the es- 
tablishment of the Cooperative Commonweath. (Within 
the last two sentences is contained the whole hellish aim 
and plot of Internationalism.) 

"Yours truly, 

"Wm. C. Rempfer." 
On March 22, "Judge" Rempfer writes as follows; the 

letter is typewritten on the paper of Parkston Independent 

School District No. 82: 
"My dear Sir: 

***/£ seems to be the Socialist attitude toward the 
land question, the world over, that the land must be na- 
tionalized in some form or other. ***The Socialists of this 
Country would nationalize the land, allowing individuals 
to work it with their own tools, not being allowed to use 
hired labor, however.* **As far as the sale of the output 
is concerned, the Central Government would have to fix 
the price, because it would be the only purchaser and dis- 

46 



tributor of the farm produce. ***0/ course, the present 
farmer, who owns his own farm will never become re- 
conciled to the Socialist regime for he will feel that he is 
losing something by the change. (Hence place all the 
taxes on the land, create tenantry, which is practical serf- 
dom, wipe out the Lincoln homestead and yon have the 
Socialist regime complete. )****TJse and Occupation will 
be the title the farmer holds and if he and his children 
use and occupy this particular farm forever down through 
the generations to come, he will have a title in fee simple 
to all intents and purposes. His title terminates, how- 
ever, when he or his heirs cease to use and occupy. Then 
the State leases anew. (Within this doctrine of the 
League is embraced the Socialistic dogma of No Inheri- 
tance in Productive Property. )***Distribution of land 
would be by lot as vacancies occurred, or in the order of 
application, with perhaps general re-distribution every 
seven, ten, or twenty-five years. (Here you get Henry 
George and his Single Tax idea pure and simple and yet, 
Farm propaganda papers have been preaching this un- 
American doctrine directly to the farmers. One can al- 
most exclaim, Oh shame, where is thy blush ! ) 
This letter is signed: 

"Very truly yours, 

Wm. 0. Rempfer." 
Let us take notice of an editorial in the "New Appeal to 
Reason, February 8, 1919." It must be kept in mind that the 
"Appeal to Reason" is one of the worst types of socialistic 
organs. It is committed to Internationalism up to the farth- 
est point of enforcing Scientific Socialism, if need be, by 
bloody revolution. They testify as follows: 

"A radical program of legislation is being worked out by 
Non-Partisan law-makers who now control the State of 
North Dakota. In these days of progress, the New Ap- 
peal to Reason finds frequent occasion to congratulate 
itself, for measures that it has been advocating for years 
are rapidly coming to the fore.*****This radical program 
includes the very things the New Appeal to Reason has 

47 



been fighting for; incidentally, it was prepared with the 
advice of a "New Appeal" man, Walter Thomas Mills, the 
well known Socialist lecturer, who conducted correspon- 
dence courses for the readers of the "New Appeal" and 
who has for years been a contributor to the columns of 
this paper." 

The Socialists, who have been busy agitating all these 
ideas for years, were never so busy in their agitation as they 
are at present; as Alfred Knutson says: 

"They (The Marxian Doctrines) must be fed to the farm- 
ers a little at a time." 

The International Socialist Review under date of Sept. 
1917, tells "how the farmer can get his" 

It will be noted here that the League plan is in perfect ac- 
cord with the International system of Division of labor. We 
quote exactly: 

"Every group will of course be advised by national ex- 
perts as to the best crops to plant, the fertilizer needed, 
and on the thousand and one questions that are constant- 
ly increasing as farming is being reduced to a scientific 
basis-—***. The hours spent in farm work by the group 
of workers whose labors have proved fruitless, will, with- 
out doubt, be included in the total number of hours spent 
in farm production by all the workers*** In this way the 
farmers who work poor land will receive the same pay- 
ment per hour of labor as the group which worked the 
most fertile land. The total product will represent the 
total number of hours necessarily expended in the pro- 
duction of a commodity and men and women will be paid 
according to their labors. (This means Socialism or In- 
dustrial Democracy.)" 

This statement is true Marxian form of Socialism. At 
one stroke the American system of free owned homes is to be 
wiped out, and all the land owned and operated by the State, 
and all farmers made laborers and not owners. Fine sugar- 
coated pills indeed, for the Wisconsin farmers. 



48 



More evidence of this character could be quoted, but if we 
were to go on ad infinitum, it would be of little value, for the 
reason that the evidence of the Non-Partisan League, being in 
collusion with Socialism is absolutely overwhelming, and it 
would take a large volume to publish all the evidence proving 
this. 



49 



CHAPTER IV 

DICTATORSHIP 

THE NATIONAL NON- 
PARTISAN LEAGUE 
THE AMERICAN 
COUNTERPART OF 
EUROPEAN SOCIALISM 
APPLIED TO AN AMER- 
ICAN AGRICULTURAL 
STATE. 

Scientific Socialism presupposes a dictatorship in govern- 
ment. The individual is put in a social straight jacket. 
The administrators are tyrants under such a system. History 
repeats itself. It was trying to do the same thing in North 
Dakota that it had done in Russia. Wherever Socialists have 
been able to gain a foot hold the first thing they do is to estab- 
lish a dictatorship. Compare the statements of Lenine and 
Mills. Only a short time ago Lenine stated: 

"A dictatorship of the proletariat is necessary ; there must 
be a dictatorship/' 

Now listen to how Walter Thomas Mills Americanizes 
the Russian form of dictatorship. He says : 

"There must be a commander now and Townley is in 
command." 

There is no difference in the intentions of the two men. 
Let us see how Townley has really been in command of the 
National Non-Partisan League, and of the State of North 
Dakota under the constitutional provisions of the League. 

51 



We quote from the constitution of the National Non-Partisan 
League : 

"SECTION 5. The national committee shall consist of 
the national executive committee, and of the chairman of 
the state committee of such affiliated state, who shall hold 
office by virtue of their position as chairman. 
SECTION 6. The national executive committee shall 
consist of three members, one of whom shall be the chair- 
man thereof. The first national executive committee shall 
consist of: A. C. Townley, who shall be chairman of the 
national executive committee and president of the Na- 
tional Non-Partisan League, and he shall hold his office 
for a period of two years from January 1, 1917 ; William 
Lemke, who shall hold his office for a period of four years 
from said date; and F. B. Wood, who shall hold his of- 
fice for a period of six years from said date." 

(Here is a self -constituted, dictatorship.) 

"Thereafter, at the end of each two-year period, the na- 
tional executive committee shall nominate one person as 
a candidate to succeed the member of the committee whose 
term expires. Such nomination subject to the approval of 
the national committee." 

(Here again the same revolving dictatorship is continued.) 

"SECTION 7. The national executive committee shall 
appoint a state executive secretary and manager for each 
affiliated state, who shall maintain an office within the 
state and who shall be the executive officer of the associa- 
tion for such state, and secretary of the state committee. 
He shall be subject to directions, instructions and removal 
by the national executive committee." 

Here you see that the self-appointed National Executive 
Committee assumes the machinery of the affiliated states, 
and perfects a national autocracy ; and yet the farmers of Wis- 
consin have been talking about democracy from time imme- 
morial. Do you really get it? Townley, Lemke, and Wood 
are the self-constituted national executive committee- They 

52 



appoint the executive officer of each affiliated State, who is 
removable at their direction. Now when a vacancy occurs in 
the national executive committee, the remaining two members 
nominate the successor. Is it natural to nominate any man 
from the rank and file? By no means. They either nominate 
the retiring officer to succeed himself, or nominate "a True 
Blue" from the inner circle, and thus perpetuate an autocracy 
or dictatorship, which is in perfect accord with the autocracy 
and dictatorship of Lenine of Eussia. 

Alfred Knutson was manager of the Non-Partisan League 
in the State of Washington. It became evident to the people 
that this dictatorship was to be fastened upon the people of 
the State, just as it is being threatened in Wisconsin. Ac- 
cording to affidavits of four reputable citizens of Seattle, 
Knutson made the following statements : 

"The object of our organization is to gain control of the 
policy of the country, that is, the State offices and those 
of the Government. What we want above all things is 
the control of the Supreme Bench, the Attorney General 
and the Governor.*** While we wish the people to think 
that they have democracy in the organization, we will 
give them an oligarchical rule — control in the hands of the 
few.*** We are not giving out these facts (he said to his 
subordinate) as we organize. This must be fed to the far- 
mers a little at a time" 

There is a paper published in Seattle, called the Town 
Crier. In its issue of May 4, 1918 you will find the aforesaid 
affidavits. Let us follow this along and see how this dictator- 
ship borrowed from Scientific Socialism is applied to the gov- 
ernment of the farmer state of North Dakota. 

All the laws establishing state commissions are written 
so as to place the authority, the power of appointment, and 
the discharge of appointees in the hands of the governor. This 



53 



is contrary to every principle of a republican form of govern- 
ment, where checks are made against autocratic control. The 
laws of North Dakota, under the Non-Partisan League dic- 
tatorship, provide not only that the governor can appoint, but 
may also discharge an official at will, without stating the 
cause. Possibly outside of The All-Russian Soviet Federation, 
there is no better example of an autocratic machine than that 
afforded by The-League-Socialist-State-of-North Dakota. First, 
the Socialists place themselves in complete control of the 
League and then, through a system of amending the Constitu- 
tion of the State, and the enactment of laws to fit in, get ab- 
solute control of the administration of the State government. 
In one way or another, they gain complete control of the entire 
public and social machinery. The inner circle of the National 
Non-Partisan League is composed of about seventy promi- 
nent, one may say notorious Socialists, (See list of names 
chapter II. ) In nearly every case these leaders have expressed 
themselves in favor of the All-Russian-Soviet-Federation. The 
general policy of the League is consistent with the policy 
adopted by Lenine in Russia, so far as it is safe to go in this 
Country. President Townley of the National Non-Partisan 
League, testifying before the L^nited States Senate Committee 
said: 

"The League appears to be working along the same line as 
they are working in Russia." 

He is correct in every sense of the word. The dictatorship 
in North Dakota is constituted within an official inner circle. 
It is called the Industrial Commission. It consists of the Gov- 
ernor, the Attorney General and the Commissioner of Agricul- 
ture and Labor. The Governor can, however, veto any or all 
things the other two may do. He is supreme. Without his 
consent the other men elected can do nothing. Here again is 

64 



a trick of Scientific Socialism. The Industrial Commission 
appears to be democratic ; but it is only democracy in disguise 
and for a purpose. The Governor is the dictator and under the 
constitution of the Industrial Commission he is able to veto 1 
every act of the individual officers who have been elected in 
their departments, who through a trick of law are harnessed in 
with the governor. Thus, if Townley can dictate to the Governor, 
Townley is the dictator of the State. That is conclusively the 
object of the Non-Partisan League and it is likewise the object 
of Lenine in Russia. For instance, see how this dictatorship 
works in practical detail. Under Chapter 147 of the Ses- 
sion Laws of 1919, creating the Bank of North Dakota, the 
Industrial Commission (which, as hereinbefore explained is 
the Governor) has this power, namely, — it can appoint a man- 
ager of the Bank of North Dakota and may appoint and fix 
the compensation of all its employes. The Act says : 

"Provided, however, that subject to the control and regula- 
tions of the Commission (which is the Governor) the 
manager of the bank shall appoint and employ etc. (a 
large list of the kinds of help to be employed), all of the 
men appointed are removable at the pleasure of the Com- 
mission." 

Let us emphasize again : the Commission is the Governor 
and the Governor is Townley; all coming from the self-appoint- 
ed revolving dictatorship of the Executive Committee of the 
League. 

Another instance: The Home Builder's Association is a 
similar "gem of more jobs." Those who will read the first, 
and so far, only issued annual report of the Commission, will 
be surprisel to find Scientific Socialism tucked away in every 
provision of it. Section 4 of Chapter 154 provides that the 
Industrial Commission (which keep in mind, is the Governor) 

55 



shall have such assistants as in its judgment is necesary for 
the establishment, maintenance and operation of the Associa- 
tion. Then there is a distinct clause, as in the Bank Act, pro- 
viding that the manger is subject to the control of the Gov- 
ernor. 

Again, the Commissioner of Immigration is also appoint- 
ed by the Governor without confirmation by the Senate. He 
shall employ and fix salaries of all assistants necessary for 
carrying out the provision of this Act. He can discharge them 
at will. Reflect, for a moment, as to how the head of a depart- 
ment could work independently and efficiently for the best 
interests of the people, if he is conscious all of the time that 
a political dictator, not an officer of the State, can secure 
through secret methods the discharge of a subordinate? This 
is a most certain way to break down democracy and rear an 
autocracy. Under a Provision of the Law nearly a quarter of 
a million dollars may he diverted to other states to teach the 
people of those states the excellence (?) of the League State of 
North Dakota. Therefore, a quarter of a million dollars is 
practically turned over to this dictatorship, which may be 
used to corrupt the political thought and temper of other 
states, and thus inaugurate the program of the League in those 
states. The program is one of the most audacious attempts 
to bring the American farmer to Scientific Socialism, that has 
so far been devised. The Workmen's Compensation Board, 
the Hail Insurance Law, and the Tax Laws of the state, as 
well as the laws on education, are all placed within the power 
or dictatorship of this Commission. 

Section 7-A of Chapter 213 of 1918 provides that the Gov- 
ernor shall appoint a Tax Commissioner with the advice and 
consent of the Senate. Such Commissioner shall serve a term 



66 



of six years, or until his succesor is appointed. The law pro- 
vides that the Governor may remove the Tax Commissioner 
at any time and appoint a successor. The Senate need not 
consent : Needless to say the Commissioner will be good or he 
will lose his place. 

Then they estabished a Motor Vehicle Department under 
a Highway Commission, which was practically the Industrial 
Commission, all being appointed and removable by the Gov- 
ernor. 

The subjects of education and taxation are touched upon 
in other Chapters. 

It might be well to call attention to the fact that after 
certain elective officials, say, for instance, the Attorney Gen- 
eral, found that they were to be used merely as a part of a 
supreme dictatorship, that they rebelled against the system. 
Immediately Townley demanded that laws be passed circum- 
scribing the Attorney General in his powers and in order to 
circumvent his authority, a law was passed, giving the Gov- 
ernor the power to appoint as many assistant Attorneys Gen- 
eral as he pleased. (The sky was the limit.) This trimmed 
the claws so to speak, of the Attorney General. In the next 
election the Attorney General was defeated by Mr. Lemke, 
who was one of the members of the Executive Committee of the 
Non-Partisan League. Lemke was recalled, since. 

AMENDMENT TO THE CONSTITUTION OF THE STATE 
OF NORTH DAKOTA 

A Eepublic is a political entity of laws, or in other words, 
the people are governed by laws and not by men alone. Abso- 
ute monarchies or oligarchies are governments of men who 
embrace within their personality, so to speak, the Constitu- 
tion of a Country. True, a limited monarchy, like that of 

67 



England, is one of laws fixed upon precedent, which taken 
together with the Crown makes the constitution of the Coun- 
try. The people of the United Colonies of North America fed- 
erated themselves into a unit, but at the same time left the in- 
tegers or colonies quite independent in many political respects. 
Experience taught however, the necessity for a "more perfect" 
union, a stronger union, if you will. Out of that opinion came 
the constitution of the United States, which Gladstone declar- 
ed to be the best instrument of government ever "struck 
off by the mind of man at one time." The object of a constitu- 
tion is to fix certain fundamental principles of government for 
not only the guidance, but the wellbeing and safeguarding of 
the people. Each state in our Union has its own constitution. 
If, in any particular a State Constitution, or the laws that 
enamate therefrom, come in conflict with the National Consti- 
tution the provision of the State Constitution is nullified. 

North Dakota has a constitution. In the beginning Henry 
Villard, Promotor of the Northern Pacific Eairoad, employed 
a learned University Professor to write such a constitution. 
This constitution was not adopted, but most of the things 
written into it, were finally adopted as the constitution of the 
State. It is known to be as fair a democratic document as any 
constitution in the Union. True, it had no socialistic ten- 
dencies and no method by which, under it, Scientific Socialism 
could germinate in the state of North Dakota. North Dakota 
has a highly intellectual people. As the lands in the eastern 
states grew in value farmers sold out, taking their profits, and 
followed the advice of Horace Greeley and joined in that pro- 
cession or wave that started in the East and inundated the 
Central Western prairies, from the Canadian line even to the 
Gulf of Mexico. Wherever this wave of population struck, the 
land was blessed with an intellegent, hard working, home-lov- 



58 



ing people. North Dakota was favored with an unusual num- 
ber of these emigrants. Wisconsin contributed to her popua- 
tion in large numbers. Townley, in "sugar-coating the Social- 
istic pill for the farmers" realized, he had to amend the Consti- 
tution. Some of the amendments proposed were extremely 
dangerous and were voted down. Others were passed. The 
Constitution was amended to authorize the State to engage in 
any and all kinds of industrial enterprises, and within the 
scope of the meaning of "industrial enterprises" was embrac- 
ed almost every detail of a complete socialistic plan. As here- 
inbefore stated, the financial structure of the state was so 
amended, as to authorize the loaning of all school funds to the 
state owned industries, even as against the use of the funds in 
the Educational system itself, and authorized that all such 
loans could be made on the full value of the security offered. 
Another amendment prohibited the loaning of State funds on 
United States government bonds. All of this is true to the 
form of Socialism. For the International Socialist there is 
no country, therefore there is no patriotism and the Interna- 
tional Socialist has no flag. Taken, as a whole, this is au- 
tocracy. 



59 



CHAPTER V 

CHRISTIANITY— THE FAMILY AND THE HOME. 

IS SOCIALISM OPPOSED 
TO AND SUBVERSIVE 
OF CHRISTIANITY AND 
DOES THE NONPAR- 
TISAN LEAGUE PRO- 
GRAMME TEND THAT 
WAY? 

Absolutely, yes. The leaders are in almost universal ac- 
cord on this point. Any one striking at Christianity imme- 
diately received the unanimous acclaim of the Socialist world. 
"Christianity must go" has been the slogan from the very be- 
ginning. Let us quote from Marx and Engels on this point. 
In the preface to his "Criticism of Political Economy" Marx 
says: 

"The method of production in our material life shapes and 
determines also our entire social, political and intellec- 
tual process of life. It is not the mind of man which de- 
termines his life in society, but on the contrary, it is this 
life which determines his mind." 

Engels, the friend and co-worker of Marx, and by some 
thought to be the abler of the two, says : 

"At the root of the materialistic conception of history there 
is the proposition that production, and next to produc- 
tion, exchange of products, forms the basis of social order 

Accordingly, the ultimate causes of social changes 

and of political revolutions are not to be looked for in the 
brains of men and in their growing comprehension of 

61 



eternal truth and justice, but in the changes affecting the 
manner of production and exchange." 

In the foregoing it is clearly seen that a fundamental 
change in intellectual and social processes underlies the "Ma- 
terialistic Conception of History" of Scientific Socialism. 

On the question of Christianity we quote further from 

Frederick Engels : 

"The materialistic conception of history proceeds upon the 
principle that production and, next to production, the 
exchange of its products, is the ground- work of every social 
order ; and that in every social system, that has arisen his- 
torically, the distribution of the products, together with 
the social division into classes and orders, depends upon 
that which is produced, and the manner in which it is pro- 
duced, and also upon the manner in which the articles pro- 
duced are exchanged." 

This leaves the revelations of God entirely out of their 
calculations. 

Again, we beg to quote the Appeal to Reason, (May 16, 
1903) the most widely circulated Socialist organ in America. 

"Fifty-five years have now passed by since Karl 
Marx formulated his materialistic conception of history, 
and gave to the world its first science of economics. The 
"Communist Manifesto" reads like a document written 

yesterday When Marx analyzed society and found 

that ethics, morals and religions are all the product of 
economic or material conditions, he was able to predict 
with certainty the future conduct of society, even as does 
the astronomer predict the coming of an eclipse. 

The foregoing certainly conclusively proves the case, but 
Bax in the following quotation, leaves no possibe doubt of the 
orthodox position of Socialism in this respect. In fact Bax 
in a very thorough treatise, from which the quotation is taken, 
undertakes to chew up Christianity and all it stands for, and, 

62 



as it were, to spit it out, and substitute therefor, the doctrine 
of Marxian Atheism. 

"One word on that singular hybrid, the "Christian 

socialist" The association of Christianity with any 

form of socialism is a mystery, rivaling the mysterious 
combination of ethical and other contradictions in the 
Christian divinity. 

"It is difficult to divine the motive for thus preserv- 
ing a name which, confessedly, in its ordinary meaning, is 
not only alien hut hostile to the doctrine of socialism. 

"If by Christianity be meant the body of dogma us- 
ually connoted by the word, it will probably be conceded 
by those to whom we refer that it is in hostility to pro- 
gress. If, on the other hand, this be not meant, but mere- 
ly the ethical principles Christianity it supposed to em- 
body, then, even if the principles were distinctly and ex- 
clusively Christian, which they are not, we challenge them 
to show this connection or even their compatability with 
socialism. If, again, they fail in this, as fail they must, 
the whole matter is resolved into one of sentiment. And 
for the sake of retaining a catch-word, for such it is, 
and no more, under these circumstances, they would com- 
promise principles, and throw a sop to the status quo in 
its most hypocritical form." 

Again listen to the Son-in-law and literary executor of 

Marx, Dr. Aveling, writing in "To-Day," a socialist magazine 

in which he says: 

"The priest also is admissible to our human, earthly, 
natural society as an individual, and is welcome as a 
man, but, he must denounce his priesthood and all its 
pretentions to relation with the supernatural." 

Can any statements be made plainer as to the Socialistic 

position in this regard? We might go on quoting from other 

leading Socialists but it is unnecessary. The fact remains that 

Christianity and Socialism can no more be harmonized, than 

can fire and water. Some may still use the two words (Chris- 

63 



tian-Socialist), but as Spargo admits, "we do not ourselves, in 
most cases, believe it." For after all, bow can the ethics of 
the two be identical? The philosophy of socialism is confess- 
edly builded upon matter; Christianity upon the spirit. The 
former concedes nothing beyond present life; the latter teach- 
es that perfect happiness is attained in the life hereafter. The 
one tends to develop the perfect animal in man by catering 
only to his present needs; the other preaches self-denial 
and sacrifice as the price of perfect peace. The one teaches 
that poverty is a vice and a crime ; the other, that poverty may 
be exalted into a virtue. Marx gives the example of men con- 
trolled by sensualism; while Christianity extols for exempli- 
fication the poverty of Christ. The development which Marx 
contemplated is thoroughly materialistic. It takes no account 
of those prime evolutionary forces which lie behind the whole 
process of our social development. Christ stands for the con- 
trol of the materialistic through the spirit. 

Again : is Marxian Socialism Destructive of the Family Tie and 
has the Non-Partisan League adopted its Doctrines in 

this Matter? 

Again, absolutely yes. Possibly there is no tenet of So- 
cialism so universally agreed upon by its leaders as that which 
utterly destroys the entity of the family, because when that 
takes place, the Christian home is destroyed and thus the mo- 
dern civilized state tumbles with it. It cannot be too solemn- 
ly impressed upon the people that the first and necessary un- 
dertaking of Scientific Socialism is to undermine and cast out 
of our civilization the sacred ties that bind the family together 
and which tie has been sanctioned by Christ himself. It 
ought but to be necessary to quote from Bebel, the modern High 
Priest of Socialism to prove this. After the death of Marx, 

64 



no other man held a position of greater authority or power in 
Internationalism. We find in his book on Woman the ortho- 
dox Marxian position, stated as follows : 

"Under the proviso that he inflict injury upon none 
the individual shall himself oversee the satisfaction of 
his own instincts. The satisfaction of the sensual instinct 
is as much a private concern as the satisfaction of any 
other natural instinct. None is therefore accountable to 
others and no unsolicited judge may interfere. How I 
shall eat, how I shall clothe myself, is my private affair. 
Exactly so my relationship with a person of the opposite 
sex." 

Some Socialists would like to have the impression go out 
that there is a disagreement on this point of individual mor- 
ality. They like to say that the Marxian principles of Social- 
ism have but economic and not moral effects. They maintain 
that the "Materialistic Conception of History" applies more 
particularly to the problem, as they put it, of "bread and 
butter," but on the other hand, while they make these state- 
ments, there is almost universal evidence that the authors of 
Socialism agree completely with the law laid down by Bebel. 
Most of them affirm that the Christian family must go or the 
Socialistic state cannot be founded. 

Bebel was, up to his death quite recently, the modern 
High Priest of Scientific Socialism. But let us examine into 
some of the more popular American authorities and get their 
opinions and find out what they teach with reference to the 
marriage relation. Let us ascertain whether they regard the 
divine sanction or the legal sanction of the marriage relation- 
ship, and the family that comes from it, as the foundation of 
our national being. Out of the marriage tie grows the family 
and the family is the foundation of the State. 



65 



In his book called "The Truth about Socialism" Benson, 

the American Socialist says: 

"Socialists merely contend that Socialism would make 
women economically independent by guaranteeing to them 
the full value of their labor.*** (Just what that labor is 
or the value is Benson does not state.) No woman, who 
has a home, would be compelled by poverty to stay in it 
if she were bady treated. For the sake of her chidren she 
might do so if she wished, but she would not be compell- 
ed to do so. She would simply be free to act as her judg- 
ment might dictate*** to profit from the wise course or 
to suffer from an unwise one." 

Then Benson further states that the Socialists 

"have absolutely no program patented or otherwise for 
making people good" ; that "nothing but poverty keeps 
women from being free lovers;" that "if women were giv- 
en the power to support themselves decently and com- 
fortably outside the home, they would at once desert their 
children and their husbands and thus destroy the family." 

But it takes Upton Sinclair in his book "Profits of Reli- 
gion" to cap the climax in his insult to Christianity and the 
Church. We quote exactly from this book, which like the book 
of Ellen Keyes was included in those which were to circulate 
through the libraries of North Dakota. It is shown how a 
Catholic can "emancipate" himself from "The Priestly Lie." 
The book declares all religion to be "A MIGHTY FORTRESS 
OF GRAFT." The book tells its readers how to act in order 
to finally emancipate themselves from the thralldom of the 
Christian religion. One Chapter on the Catholic church head- 
ed "Salva Regina" is one of the most offensive pieces of sacri- 
lege in the literature of any nation. Another Chapter treats 
on the Lutheran religion. Page 105 of the book states that 
the Lutheran church has grown to be 

"A treason to humanity, that it is the State Church of 
Prussia, and that Bible worship and devil terror as prac- 

66 



ticed by Luther has played their part in building up the 
Junker's dream." 

Then there is another onslaught which embraces churches 
treated under a chapter entitled "Grotesqueness of Beligion." 
Sinclair is a High Priest of Socialist- Sovietism. 

We quote from Ellen Keyes "Love and Ethics:" 

"The ethical conception that makes the right of par- 
enthood dependent upon the present fixed forms of mar- 
riage must fall. A nation in which marriages are con- 
tracted only from deep personal love is at a great disad- 
vantage as against other nations and must disappear. 
When two unmarried persons give life to a child, nature 
often rewards passion by endowing the child with splen- 
did equipment. The fact that in some free unions love 
dies proves nothing against the possibility of a finer love 
through a divorce. The dissolution of marriage should be 
made dependent upon the will of one of the married pair." 

The foregoing seems to be evidence, sufficient to prove 
that the Non-Partisan League accepts and approves as a car- 
dinal doctrine, the position of Socialism as relating to the mar- 
riage tie and Christianity. The Marriage Tie and Christianity 
are so militated against by socialists, that we have undertaken 
to defend both in the same breath. Non-Partisan leaders and 
organizers have scattered that type of literature very promis- 
cously. We have on hand, taken from persons to whom given, a 
number of such books as Love and Ethics; The Jungle; The 
Brass Check, that prospective members had received from or- 
ganizers. Certain it is, that this indiscriminate scattering of 
moral poison is liable to do great harm. We are not quoting 
further from the literature referred to because the stuff is so 
abominably rotten, that we feel embarrassed in even alluding 
to it. A Clergyman in a speech at Bismark sums up the sit- 
uation in these words: 



67 



"The fight is between Jesus Christ and Karl Marx; be- 
tween the philosophy of the Christian religion and the 
Materialistic philosophy of Socialism — of Red Socialism. 
Between Peter, James, and John, the old apostles and 
Trotsky, Townley and Walter Thomas Mills." 



68 



CHAPTER VI 
EDUCATION AND PRESS 

HOW DOES THE NON- 
PARTISAN LEAGUE 
GAIN CONTROL OF 
THE EDUCATIONAL 
SYSTEM? 

"TOWNLEYISM" BEFORE 
THE SENATE COMMIT- 
TEE. THE BATTLE OF 
1919 IN WISCONSIN. 

From the beginning the aim of Socialism has been to in- 
fluence the minds of the young and to get them under the 
dominion of its teachings. They realize that this is the short- 
est way to accomplish their designs. "As the twig is bent, the 
tree inclines." We must give them credit for foresight in 
this regard. Let us see how they coated the educational pill for 
the farmers of North Dakota. 

The Non-Partisan League from the first undertook to 
take over the educational system of the State. In the first 
place, they gained control of it through an amendment to the 
Constitution, which changed the entire administrative educa- 
tional system. After this, the enactment of laws to give prac- 
tical effect to their detailed program, was easily effected. The 
passage of Senate Bill No. 134 established a Board of Admin- 
istration. This bill had the effect of eliminating all of the pre- 
ceding boards, as the State Board of Education, the State 
Board of Regents, and the State Board of Control. All penal 



and charitable institutions were placed under the control of 
this one Board of Administration. This absolute usurpation 
of influence and power oyer the minds of the young, created 
quite a flurry and suspicion among the people of North Dako- 
ta. The law gave to the Governor of the State, the power to 
name this Administrative Board as well as to remove members 
of the Board. This was considered a most dangerous preroga- 
tive to give to one man, because it took away particularly the 
right of the franchise of the people at large and particularly 
of the women voters of the state in educational matters. It was 
a dastardly stroke at the very heart of the state through its 
control of the minds of the youth of the State. 

So that the Educational system of North Dakota might 
be true to form, and pursuant to the statement of Townley to 
give farmers Socialism under a sugar-coated name, the Gover- 
nor appointed a Socialist at the head of the Board of Admin- 
istration, an Ex-Minister, Geo. Totten. Totten had for years 
been a Socialist. Then — whom did Totten appoint? His first 
act was to appoint Chas. E. Stangeland at the head of the 
Free Library Bureau, who in turn appointed as his assistant 
a Miss Anna Peterson. Both were ardent Socialists and ap- 
pear to have been selected because of that fact. So you see 
that within a brief time the system of public education of the 
State was under the complete control of Socialists. Miss Min- 
nie E. Melson, who was one of the few who were successful at 
the polls, and who was opposed to the League program, was 
true blue to all of the State's school ideals. She had defeated 
the League candidate, N. C. McDonald, but her influence and 
power as State Superintendent was nullified by the enactment 
of the new law, Senate Bill No. 134. The will of the people, 
therefore, with regard to the Educational system of the State 
was defeated, and so was the work of Miss Melson. Section 



70 



4 of the Administration Act did the work. The following 
duties of the Superintendent of Public Instruction held by 
Miss Nielson, under this Section were turned over to the Board 
of Administration : 

Certification of Teachers. 

Standardization of Schools. 

Examination for Eighth Grade and High School pupils. 

Preparations of Courses of Study for the several grades 
of public schools. 

And such other work as may be assigned to it by the 
Board. 

The idea was to introduce a system of primary instruction 
embracing Socialism in the schools of North Dakota. Under 
the item "Standardization of Schools" those people, who be- 
lieve in the Parochial School System for the education of their 
own children, saw within it under the Socialist regime a very 
dangerous principle. It had been rumored, and with mighty 
good authority, that the Lutherans and the Catholics were to 
be given this sugar-coating of Socialistic doctrine. A Leader 
is reported to have cleverly counselled against its intrusion 
into the program too early, or in other words, as he is re- 
ported to have said : 

"Don't be foolish and bring down a fight on this question 
when, as a matter of fact, we can get these schools under 
our control when we have the Public School System fully 
reorganized." 

Moreover, under the direction of Mr. Stangeland a large 
number of Socialist books were purchased for the travelling 
libraries. He appears to have been given this particular work 
to do. It is probable that no such overt act has hitherto been 
perpetrated in this Country to influence the very youngest 
minds of a State. 

It is necessary here again to refer particularly to one thing. 
Dr. Bebel, the high priest of Scientific Socialism, defines the 

71 



Socialist relationship of man and woman, in the marriage re- 
lation. The teaching of Dr. Bebel lays down the fundamental 
principles. Dr. Stangeland, however, it seems deemed it 
wiser to select for the travelling libraries of North Dakota the 
works of Ellen Keyes and Upton Sinclair. They teach the 
same errors in more popular form. This revolted the minds 
of thousands of Christian farmers, who had joined the League. 
It raised a veritable furor in the legislature. It became quite 
evident that Townleyism was but sugar-coated Scientific 
Socialism. Everything the new Board of Administration did 
was to emphasize this viewpoint, and to impress the value of 
the socialistic program upon the people. It should not be 
overlooked that all of the educational funds of the State were 
placed within the hands of the new Socialistic master — the 
Board of Administration. 

After the people awakened to the fact that their educa- 
tional system was in the hands of this Socialist crowd, and 
that the system was in a fair way to be used to debauch and 
corrupt the entire State, it was then that Mr. Burtness led 
the fight that saved it from this disgrace. The Board of Ad- 
ministration act was partially repealed, and so amended that 
the State was saved from the full effects of the Socialist 
policy. Mr. Burtness must be honored and held in the highest 
esteem by the people of the entire Northwest for the intrepid 
fight be made. 

Among the first list of books ordered by Mr. Stangeland 

and which arrived and were unpacked to be circulated through 

the travelling libraries were the following: 

Socialism and Modern Science, Ferri : 
Anarchism and Socialism, Pleeharoff. 
Positive School of Criminology, Ferri. 
Class Struggles in America, Simmons. 
The Evolution of Property, La Farges. 

72 



Co-operation, the Hope of the Consumer, Harris. 

Not Guilty, Blatchford. 

Political Parties, Nickels. 

Stories of the Great Railroads, Russell. 

American Government and Politics, Beard. 

Bolshevism, Spargo. 

The Bolsheviki and World Peace, Trotsky. 

Russia in 1913, Ransom. 

History of the Supreme Court, Myers. 

Our Judicial Oligarchy, Rice. 

The Profits of Religion, Sinclair. 

Socialism vs. the State, Venderbachen 

Love and Ethics, Ellen Keyes. 

Essays on Materialistic Conception in History, La Briola. 

New Schools for Old, Dewey. 

The Old Freedom, Nelson. 

Puritianism, Miller. 

Then there was another list of books that had been pur- 
chased from Chas. H. Kerr of Chicago, the publisher of au- 
thorized Socialistic books, and one of the greatest distributors 
of Socialist literature in the Country, and which was turned 
down by the Auditing Board. It can be said that great dam- 
age would have been done to the social, industrial and family 
life of North Dakota, if the plot had not been discovered and 
revealed in its utter deformity. The schools and libraries were 
the first order of business in getting control of North Da- 
kota. 

THE PRINTING ACT. 

Any treatise, however brief, that is made of the Non- 
partisan program in regard to Education, must also include 
their program with relation to the public press. The public 
press of any state or nation should be its bulwark in warding 
off the dangers that lurk within or without its confines. It 
is all the more necessary in a republic of laws instead of men. 
It is not only that good laws shall be passed, but it is even more 

73 



necessary that the people understand the purport, the effect 
and application of those laws to their social wellbeing. Scien- 
tific Socialism, if applied to the American republic, would com- 
pletely overthrow it. The Non-Partisan League was the 
mouthpiece of Socialism in undertaking to first overturn the 
American home. To bring this about, a system of news cir- 
culated through a bureau owned and managed by Socialists 
who controlled the League, was one of the first things provid- 
ed for. Among the first laws passed to bring the press of the 
state under the dominion of the League, was one designating 
certain papers in each County entitled to print Legal notices, 
etc. and such papers were known to be Non-Partisan League 
organs, which had already subscribed to its doctrines and 
were known to be regular. Within a short time, more than 
sixty independent weekly papers in the State were forced out 
of existence by the League. 

The next step in this program was the establishment of a 
large number of League papers. Not only was this done in 
the State of North Dakota but the plan was extended to other 
states. In any event, the newspaper system of North Dakota, 
under the control of the League, involved a vast expenditure. 
The National Non-Partisan Leader published at St. Paul, em- 
ployed the highest and most expensive talent in the United 
States in drawing its cartoons. The great cry of the League 
was the traditional cry of Scientific Socialism : 

"We must have free speech and we must have free press, 
because we want to teach free property and we must 
teach free love." 

The latter two would naturally grow out of the system 
of their teachings and that could best be done through con- 
trol of the Press. They handled this problem exactly as they 
handled the banking problem. The Non-Partisan League stands 



74 



for a free press just as the possum stands for free chick- 
en. If you disagree with the League in your speech, or if you 
write in disagreement with the League, the League Press of 
North Dakota, Wisconsin, Montana and other states will pro- 
ceed to destroy you through the agency of their much vaunted 
free press. There is no such thing as a free press or free 
speech under the League plan because it is essentially social- 
istic. 

It was evident that Scientific Socialism proposes to place 
humanity in a vise. There would be a free press, of course,, 
but free to say only those things that the administration of 
the Socialist state authorized to be said. That is all there is 
to the free speech program of Socialism or of the Non-Partisan 
League. This attempt at control of the public opinion of 
North Dakota and of the Northwest through its system of 
public education and public press, is one of the most audacious 
attempts to undermine the American republic that has ever 
been resorted to. Truly it was a shamefaced attempt, this 
coating the Socialist pill with the name of a farm organiza- 
tion, for the purpose of bringing within its dominion, the chil- 
dren of the farmstead, who must after all, be the mainstay of 
our Country. 

The Printing Act was one of the most dangerous and far- 
reaching in its influence of any law passed by the League. The 
law was a veritable act of usurpation and of autocracy. It 
was exactly the opposite of what Lincoln taught when he de- 
clared public opinion must be kept true in its course through 
the public press. His judgment was good. It is true he prac- 
tically counselled that it were better to suffer some bad papers 
to exist, and some lies to be circulated, rather than to curb 
the voice of the people, because in the last analysis public 
opinion would be right, and would demand that right things 



75 



be done. We must ever bear in mind, however, that when ak 
liberty is made a license to commit wrong, then a halt should* 
be called. 

Under the amended constitution, newspapers might be 
"squeezed in" as "Industrial Enterprises" and be embraced 
within the "universal scheme of State ownership." The power 
of the Board of Administration under such an Act was su- 
preme. It constituted the most perfect machine to throttle 
free speech and free political action. It is scarcely conceiv- 
able that knowing these things, or rather, having easy access 
to the knowledge that these policies were the program of the 
League, that the farmers of Wisconsin should have coddled 
this scorpion to their bosom. May we not exclaim — "What 
fools we mortals be," that we could be made the tools of such a 
hypocritical political propaganda! 

The American Society of Equity, teaching co-operation in 
its best and purest sense was wiped out of the entire North- 
west, except Wisconsin, by this brood of propaganda vipers, 
and yet many farmers in Wisconsin, deluded by the sophis- 
try of the League, fell for the argument that "Equity was an 
economic teacher," while "the League is a political teacher," 
and that they should work in harmony. How right-minded 
farmers could expect honest and intelligent leaders of Equity, 
to fall for this swashbuckling and turn down the co-operative 
plan they had advocated for years, and hand it over to this 
cabal of high-binders is more than one can see. If these Equity 
leaders had capitulated in 1919 Socialist labor leaders from 
outside the state would be guiding the farm movement here 
today as they are in several other states. 

Farm leaders who do not speak out in all places and at 
all times against this Scientific Socialistic propaganda of the 
League are untrue to their calling and should not be continued 

76 



in their places. Better a thousand times to be out of any 
movement than to remain acquiescent in a crisis of such im- 
port to all the people. 

Hitherto we have been dealing somewhat (in this chapter) 
with education and the printing act of the League. We now 
ask, how can an intelligent public attitude be sustained un- 
less we demand the truth from the press of the Country? 
Farmers appear to overlook this fundamental fact altogether. 
It is this venal press that is keeping the farmers back and do* 
ing the work of destruction. A certain influential paper car- 
ries a legend from Holy Writ. That is about the only refer- 
ence to Deity that ever appears in it. It has its partnership 
with another paper, and both of them instead of abiding by 
the principles inculcated by the Commandments of God and 
the Blessed Sermon on the Mount, transgress every sentiment 
and principle of veracity and honor. Roosevelt often said 
that "mind honesty was absolutely essential to honest public 
conduct." This is true. These papers are utterly bankrupt 
in mind honesty, they transgress reason and wickedly as- 
sault personal character with impunity, and disregard the 
canons of charity completely. In effect they say, "A vaunt with 
Christ and the Golden Rule." They bear false witness against 
neighbors, and uncover and exaggerate mere faults into crimes 
and cowardly consult attorneys as to how to save their skins 
from punishment for libel. It has been pointed out, and it prob- 
ably is so, that nowhere in all of their writings is respectful ref- 
erence made to the Deity or to the Saviour of men and yet, with 
blasphemous effrontry they decorate their headlines with leg- 
ends of Holy Writ as the Pharisees of old did their foreheads 
with phylacteries. If this is not hypocrisy, then we do not know 
what hypocrisy is. The proprietors and editors of these papers 
talk much of the "kept press" meaning the press of the Country 

77 



owned or supported by the business element of the Country. 
We do not undertake to defend anything that is wrong in the 
Press. We recognize it just as it is. Notwithstanding it is 
the bulwark that still protects the rights of the people. It is, 
after all, the sentinel that bivouacs closest to the hearthstone. 
No one has felt more hurt than the writers to find these high 
ideals, so wonderfully preached, dragged into the gutter by 
some of our high priests of progress. We cannot successfully 
be accused of reactionaryism, but we can say: better a thou- 
sand times read a press "kept by wealth" (at least we know 
the keeper) than a venal press such as that referred to, which 
we suspect has been and now is drawing sustenance for its 
nasty craw from the filthy treasury of the wicked Russian 
Soviet Government, the foundation of which fortune may have 
been taken from the murdered and dispossessed Russian Co- 
operatives. This may be said to be imagination. It is nearer 
the truth than some are willing to admit. 

We will go a little further. After the fight of 1919 there 
fell into the possession of the writer conclusive evidence, that 
the yellow press were seeking a fund of $30,000.00 to be used to 
"silence farm leaders such as" (and the writer was named 
with two others.) They generously stipulated that $2,500.00 
would be the limit of what they would use in any one thirty 
day period. There is no question but that this money was im- 
ported into the State and was used against the writer and the 
Co-operative Movement. These reds knowing that the wiggling 
tail of the dying scorpion had been discerned, a League member 
of the Equity Board in confusion and haste, wrote a letter, ad- 
vising that the writer's letters should be taken out of the files 
and "destroyed, for fear if he gets in they will be used as 
evidence in his favor." There is much other evidence of the 
culpability of this monster which, like the plague of old, 



78 



scourged the Northwest District. We think we have said 
enough to convince the farmer that there has been something 
doing against their interests. We now say the Non-Partisan 
League temporarily wrecked the Co-operative Movement in 
the Northwest through a venal and dishonestly run public 
press. The farmers, in consequence, especially in North Da- 
kota, will be a full generation in bringing back a right human 
relationship. Church societies, village communities, rural 
districts, families, and fraternal organizations, have been dis- 
rupted and are quite generally not on speaking terms, because 
of the work of this scorpionic protege of Scientific-Socialism. 
The Non-Partisan League is here now as it was in North 
Dakota, with the same purpose in view, and it hangs over Wis- 
consin like a curse from Hades. The farmers of Wisconsin are 
now in the same relative position and facing the same dangers, 
and unfortunately, they are supporting a Section of a Press 
more unprincipled than anything Townley ever conceived. 
IF THE CO-OPERATIVE AND CO-ORDINATED FARM 
AND BUSINESS MOVEMENT OF WISCONSIN PRE- 
VAILS, THEN THE FARMERS MUST UNHITCH 
THEMSELVES FROM THIS SOVEITIZED WISCON- 
SIN CONSPIRACY, OR, FOR THE TIME BEING AT 
LEAST, THE CO-OPERATIVE MOVEMENT WILL FAIL. 
WHAT GANG IN WISCONSIN IS BEING BACKED BY 
TOWNLEY? THE FARMER KNOWS. IT IS NOT NECES- 
SARY TO SAY. AGAIN WE REPEAT, IT IS THIS VENAL 
PRESS THAT IS KEEPING THE FARMERS APART AND 
DOING THE WORK OF UTTER DESTRUCTION. 
THERE CAN BE NO OTHER ALTERNATIVE. THE 
FARMER MAY AS WELL RECOGNIZE THAT FACT. 
ONE CANNOT FOOL WITH FIRE AND NOT GET 
BURNT IN THE LONG RUN. THE FARMERS OF THIS 



79 



STATE HAVE BEEN FOR A LONG TIME POOLING 
WITH LIGHTED TORCHES IN THEIR VERT HAY- 
MOWS. "AS YE SOW, SO SHALL YE REAP!" THIS IS 
INEXORABLE; THIS IS EVERLASTINGLY TRUE; «B0 
SHALL YE REAP." 



80 



OHAPTEE VII 

THE LEAGUE AND THE I. W. W. 

THE NON-P ARTISAN 
LEAGUE, THE INDUS- 
TRIAL WORKERS OF 
THE WORLD, THE AG- 
RICULTURAL WORK- 
ERS UNION AND THE 
ALL -RUSSIAN-SOVIET 
FEDERATION. 

The so-called I. W. W. are the revolutionary branch of 
the labor movement in the world. They have a large member- 
ship in the United States. They are aggressive and militant 
in their work. The leaders are generally fanatics of the most 
pronounced type. The Non-Partisan League coming into 
power in North Dakota undertook to pass a Red Flag Bill. 
This is a real I. W. W. policy. The Assembly passed it. The 
Senate rejected the Bill. In a speech at the Civic Club, New 
York, March 2, 1917, Mr. Le Sueur is reported to have re- 
marked : 

"The Senate of North Dakota passed an anti I. W. 
W. law, and the House threw it out of the window. The 
House proposed a measure appropriating several hundred 
thousand dollars for the use of the Commissioner of 
Labor for assisting transient workers who might come 
into the state at harvest time." 

They undertook to flood the state with revolutionary 
labor. It is related in official documents that the relation be- 
tween League leaders in North Dakota and leaders of the I. 



81 



W. W. were very friendly. Townley, in speaking at a meeting 
in Stillwater, Minnesota, is reported to have said: 

"We are not afraid of the Eed Flag in North Dakota." 
About the time he said this he was interrupted by a native of 
Russia, who had been Americanized. He said: 

"Mr. Townley, we don't like to hear about the red flag 
The only flag we want is the American flag, our stars and 
strips." 

It was reported that Townley answered this patriotic 
interruption in his usual manner of abuse and sneering sar- 
casm, which stirred the audience to a white heat and Mr. 
Townley found it best to make his escape out of the rear door 
of the hall under police protection. There seems to be a great 
amount of evidence linking up Mr. Arthur Le Sueur and Mr. 
David Coates, both of whom were attorneys of the I. W. W. 
Then there was B. C. Dorman of the League, who was incar- 
cerated in the Minot jail during the I. W. W. riots of 1913, 
L. L. Griffith and O. M. Thomason who also went to jail with 
the I. W. W. at Minot at that time. The combination between 
the League leaders and the I. W. W. leaders seemed to assure 
political success to the reds in North Dakota. They brought 
about a very close coalition. In the July 21, 1917 issue of 
"Solidarity" the official organ of the I. W. W., we note the 
following : 

"The tentative agreement between the Non-Partisan League 
and the Agricultural Workers Industrial Union No. 400 
was drafted by joint committees elected to represent both 
organizations. It is expected that this agreement will 
cover the harvest season; that it will establish for the 
first time in the harvest fields, a uniform wage scale. It 
may be argued by some that the tentative agreement is 
unconstitutional. That is not true. If this agreement 
were in force in Kansas at this time, instead of |3.00 to 
$4.00 per day, we would be getting $5.00 to $6.00." 

82 



It will be interesting to note that there was an attempt 
made to organize the so-called "Agricultural Workers Union." 
This followed closely in name and nature the plan of the I. 
W. W. They already were working in the state of Kansas. 
The following letter, dated May 23, 1917, written by C. W. 
Anderson, Secretary of the Agricultural Workers Union, Min- 
neapolis, is worthy of careful consideration : 

"The big drive will soon be on and you are going to 
see the biggest line up in the history of the labor move- 
ment the coming summer. The Non-Partisan League of 
North Dakota wants to have an understanding with the 
A. W. U. No. 400 for the hiring of farm help only through 
the union here. If this comes to a successful head at the 
Kansas meeting, the 30th of this month, which I think it 
will, then it means that nobody can work in the grain belt 
unless they are Union men with cards up-to-date. You 
will probably know that this means the line up of 75,000 
workers here." 

Another letter on file in the rooms of the Minnesota State 
Historical Society, written by Forest Edwards, Secretary of 
the Minneapolis Branch of the I. W. W. says: 

"Indications are that the guy who does not carry an I. 
W. W. card in North Dakota this year will, be out of 
luck. Should the proposition offered by the farmers or- 
ganization be accepted by our organization, a rather hum- 
orous situation will exist in North Dakota. When a 
farmer comes to town after a man, the wobbly will ask 
him for his card in the farmers organization. If he has 
none, the wobbly will tell him there is nothing doing. 
The members of the farmers organization, on the other 
hand, will hire only I. W. W. men (or as they are called, 
wobblies). The unorganized farmer and the unorganized 
worker will be out of luck." 

The writers of this little book oftentimes wonder if the 

Equity farmers of Wisconsin really knew what the Non-Par- 

tisan League was, whether they would have permitted their 



83 



fine organization to have been disrupted, and the men who 
fought the battles for the homes of Wisconsin injured in their 
health and their fortunes, some of them made bankrupt in 
that fight. The farm movement for fifty years has flowed to 
high levels from time to time, and then ebbed slowly and fa- 
tally back towards tenantry, because honest leadership has 
never been appreciated or sustained. The farmers in North 
Dakota soon began to look with suspicion on the "wobblies." 
They knew very well about their beliefs, teachings, and prac- 
tices. They knew they practiced a system of sabotage and 
of general deviltry upon industry. They realized that in 
time, if the farmers refused unreasonable requests, they would 
practice the same devilish system in their homes and harvest 
fields. This brought about a quite general uprising against the 
I. W. W. and the staid, solid, progressive, energetic, patriotic 
farmers — at least enough of them — pitted themselves against 
the unpatriotic, extreme, red, hell-bent minions of the wobbly 
organization. In a convention of the Agricultural Workers 
Union, Le Sueur predicted "that if we can come to some un- 
derstanding with the Non-Partisan League of North Dakota it 
will mean the balance of power will be shifted from the state 
government to the Industrial Workers of the World and the 
Non-Partisan League." His psychology is wrong. There is a 
diversity of temperament which will always keep the American 
farmers and the Industrial Workers of the World from blend- 
ing together. A conjunction of forces may come to bring 
about a revolution in politics but the Union is not apt to be 
permanent. There are lines of contact which might be united 
and followed out permanently, however, between the American 
farmers and the loyal, fine tempered, good hearted, sound- 
brained laborers. That must be admitted. If the combina- 



84 



tion suggested by Le Sueur could be brought about, then we 

would have the Soviet control of land and industry. 

Judge Bruce has remarked that : 

"the suggestion could have come only from a desire 
of the League's Socialist hierarchy to bring about an era 
of Sovietism, and to obtain the votes and support of the 
radical laboring classes, no matter what the consequences 
might be to orderly government." 

Judge Bruce is correct. The League was resorting to the 
traditional methods of Marxianism to bring disaster to the 
farmers, knowing that it would augment their cause in Amer- 
ica. The homestead as conceived and planted by Abraham 
Lincoln, is now and ever must be, if this republic survives, 
not only the cornerstone of the edifice, but the keystone in the 
arch of the world's civilization. 

THE SOVIET FORM OF GOVERNMENT. 

The Soviet form of Government suggested in the topic 

of this chapter, sprang up spontaneously all over Russia. 

It became an established fact in a brief time. Lincoln Steffens, 

an American author and investigator says: 

"Lenine, head of the Soviet Government, is farther removed 
from the people than the Czar was, or than any actual 
ruler in Europe now is." 

The Soviet form is an integer of a labor union, so to speak, 
and is derived quite directly from the theory of Marx. In 
other words, the division of labor in a state under the Marx- 
ian theory seems to have been worked out as a unit to fit the 
Soviet plan. 

Spargo, another author and investigator says: 

"The people in a shop or an industry are a soviet. 
Those elect a local soviet. This method is very simple. 
Ten working men meeting on a street may stop and form 
a local soviet. These, in turn, elect delegates to the com- 
munity soviet, the City or County for instance, and they 

85 



in turn elect delegates to the state or central government. 
Then out of these, and in this way, grows THE-ALL- 
EUSSIAN-SOVIET-FEDEEATION." 

This latter aggregation is small and compact, correspond- 
ing somewhat in its personnel to our American presidential 
cabinet system. This cabinet or commission elect a head or 
dictator. In Eussia it was Lenine. (In North Dakota — the 
Executive Committee elected Townley). The Eussian Federa- 
tion, under this system evolved and established the most com- 
plex, autocratic system in the world. It is almost impossible 
to remove Lenine, (so with Townley in North Dakota). It 
would seem that Lenine can only be removed by the force that 
finally comes from the outraged opinion of mankind. Bolshe- 
vism is more the condition of the whole, while Sovietism is 
more the detailed integers of government, if it is possible to 
call it government. America was circularized by documents 
unsigned and finely translated from the Eussian language 
and transmitted through our mails to farm and labor leaders, 
detailing in a veiled way the underlying principles of the Eus- 
sian system. 

There seems to be a sympathy between the Sovietism of 
Lenine and Eussia and the Non-Partisan Townley kind of 
Socialism. Some thirty years ago Socialism, Mhilism and 
Anarchy were a trinity, whereas now it seems to be Socialism, 
Communism and Sovietism. Scientific Socialism covers with 
its wings all of the doctrines of the bloody revolution used in 
prosecuting Mhilism and Anarchism. It is fair to say that the 
failure to heed the voice of honest farm leaders thirty years 
ago has quite nearly brought down upon our heads the appli- 
cation of Socialism to the farm business, a thing thirty years 
ago inconceivable. One of the methods used by the League is 
the same method used in Eussia, by quoting the great legal 



86 



authority, Blackstone, as teaching that the individual has not 
an inherent right in the land, etc. etc. This gets lodgment 
in the brain of the farmers because no one dares or will op- 
pose it. If they do, some narrow pated individual will say 
that the person with courage to do it is bringing politics into 
the farm movement. A year or so ago a pamphlet was dis- 
tributed among farmers in this state entitled: "The A. B. C. 
of Socialism." In fixing the definitions the author deftly and 
judiciously (Sic) left out all reference to land and did not 
undertake to make application of Socialism to land, except in 
the way of an expedient and never in any way alluded to the 
fundamental rule of Socialism, namely, that the state must 
own the land. 

One of the aspects of the situation in Russia is this — 15% 
of the industrial proletariat has been ruling 85% of farmers 
or peasants. This is about the proportion that subsists be- 
tween the industrial worker and the farmers in North Dakota. 
A year ago last fall the League was voted into power and only 
within the last few days it was voted out of power. Evidently, 
from what we hear, it will be restored to its official power 
next June, unless the wisest counsel can prevail in Partisan 
politics and this appears abolutely impossible. A document 
issued by those people opposing the League in North Dakota 
says : 

"The leaders of the Non-Partisan League give their 
support to a movement which has for its ultimate aim 
the same purposes as all Socialistic activities, the over- 
turning of our government, the destruction of our consti- 
tution, the abolishing of our school system, public and 
parochial, the discrediting of church and religion, the sub- 
stitution of the 'state of force', which is the same form 
and for the same purpose as that of the Russian Soviet 
government of Lenine and Trotsky." 

87 



This is worthy of the most careful consideration of Wis- 
consin farmers. The system of overturning the peasants in 
Russia was most subtle at first and brutal in the end. In Rus- 
sia the Bolsheviki advised the peasants that they were entitled 
to the land. They preyed upon their cupidity and excited 
them in this belief. They explained how, if the peasants dis- 
possessed the landlords, the land would be theirs and the peas- 
ants, in consequence, fell upon the landlords, massacred them 
by thousands, destroyed machinery, killed the livestock, burnt 
buildings and crops and all to gain possession of the land. They 
were told that the land was theirs and only by destroying the 
personal property could their possessions be honorably held. 
Here you get n glimmer of the Single Tax idea in Russia. It 
is blood curdling to read about what followed. It has been 
said that men have waded through blood to a throne, but in 
Russia we have seen the experiment of trying to wade through 
blood to a home. Poor, deluded fools ! Such has been the ex- 
perience of the peasant or small farmer in Europe from the 
very dawn of history. In this Country the farmer has attained 
in fullness the ends fought for from time immemorial. Man- 
umission of the slaves by Lincoln was a climax of achieve- 
ment in human affairs. Out of Lincoln and his work grew 
the free-owned homes that have been multiplied into millions 
and now and here we have a propaganda in full swing to 
teach farmers to undo the work of a hundred years, which 
finally culminated in this great national public benefaction. 
Can it be that it will succeed? Let us trow not. 

History not only repeats itself, but situations run in par- 
allels. After the peasants had murdered the landlords and 
confiscated the estates, the Industrial proletariat of Russia 
came along, told the peasant that he must work the land for 
the proletariat and when the peasant refused he was disposs* 

88. 



essed at the point of a bayonet. In one case more than a score 
of peasants were murdered in cold blood because they merely 
stopped to argue the question. Bear in mind that the Russian 
Socialists decreed : 

"That henceforth and forever the right to own land in Rus- 
sia is abolished." 

Here you get a direct parallel with the program of the 
Non-Partisan League to be achieved in another way. 

The Chapter on the Single Tax shows that while the farm- 
ers are not to be dispossessed as in Russia at the point of a 
bayonet, they are to be peacefully dispossessed through a 
system of taxation, although force is considered justifiable 
under the program, if it could successfully be employed. Let 
us see if this is so. Lester Barlow was one of the League 
leaders who took a very prominent part in "the Wisconsin Cam- 
paign of 1919." Speaking in Chicago to the Convention called 
by the Committee of 48, appealing to the Convention to meet 
the Single Taxers, he said: 

"Let them come in under some other head; what do 
we care about the name of the baby, if we get the baby it- 
self." (This is true to form). "If, in other words, we 
can get Land Socialism, which is the real goal we are aim- 
ing at, what do we care about what it is called." (It may 
be called Sovietism in Russia, and Non-Partisanism in 
the United States). 

Some of the slogans even of the Russian SOVIETANS 
and the League are quite the same. They interchange docu- 
ments. There is evidently a direct connection between the 
Lenine Government and the Townley propaganda. A social- 
ist, writing a very able treatise on the Russian conditions uses 
the slogan that the Proletariat and the peasants are "drawing 
together." The Non-Partisan League expresses it as "sticking 



89 



together." As a matter of information and to show how vic- 
ious propagandas beget insane brutality, it is only necessary 
to detail a few of the methods the Socialist revolutionists of 
Russia have in dealing with refractory farmers or peasants. 
Of course, there is no real jury or court. In one case the fol- 
lowing punishment was inflicted : 

"In a frigid frost they were led out clad only in their shirts 
and water poured on them until they were turned into ice." 

This punishment is authenticated as having transpired in 
the Province of Tver. In another Soviet section Sarapulak, 
peasant women were buried alive. They were convicted and 
sentenced by so-called "People's Tribunals." In some cases 
they select judges, but not always. Of course, Lenine approves 
the voters — no one can vote except those designated. He also 
selects the candidates and thus he controls the judges. Town- 
ley has a more refined system. He does not freeze people to 
death or bury them alive, but sends well trained men into com- 
munities to assassinate the character of any person they de- 
cide to get rid of, make life miserable for himself and family, 
terrorize him and then if they can, drive him out of the state 
and community. There is plenty of proof that this has been 
done. 

Again there is a parallel with Russian Sovietism in 
the fact that under the amended constitution Townley con- 
trolled the judges in North Dakota. We have the system under- 
taken in Jefferson County, Wisconsin, where our own little 
cherished Lenine removed one delegate and substituted an- 
other so as to get the endorsement for a candidate and later, 
when a certain candidate of the Assembly did not do his bidding 
he undertook to secure his recall from the Assembly and thus 
browbeat him into submission. The Russian Federation abso- 
lutely undertakes to overturn Christianity. The Non-Partisan 



90 



League does exactly the same thing. There is a parallel all 
along the line, in fact, one is justified in concluding that for 
once the propaganda of Marxianism in some form is permeating 
the Civilization of the World. 



91 



CHAPTER VIII. 

SINGLE TAX. 

THE SINGLE TAX AS DE- 
VISED BY HENRY 
GEORGE AND APPLIED 
BY TOWNLEY. HENRY 
GEORGE MAKES 
MARXIAN SOCIALISM 
APPLICABLE TO LAND. 

The Chapter * entitled "How was the Socialist Pill Sugar- 
coated with a Farmer Name" shows how the farmers of North 
Dakota were to be fooled into adopting Socialism. Let us take 
off the coating of another of these pills and analyze its ingredi- 
ents. The single tax devised by Henry George and advocated by 
him in one of the most subtly and ably written books in a half 
century, "Progress and Poverty/' fixed the single tax as the 
dogmatic teaching of Socialism with relation to land. The 
Fels Foundation is spending millions to put the single tax plan 
into effect. "Progress and Poverty" supplements Karl Marx 
"Das Kapital," in that it covers the land problem in about the 
same way that "Das Kapital" does the industrial problem. 
The Single-Tax idea in condensed form and according to George, 
in effect, declares private ownership of land to be unjust. All 
lands shall be owned by the State, absolutely. Confiscation 
of all land from present owners without compensation they hold 
to be right. Then the land shall be taxed up to its full rental 
value, which shall accrue to the State. There will be under 
♦Chapt. No. III. 

93 



Single-Tax no other kind of taxation. Hence land in the final 

analysis would have no selling value and thus mould he con- 

fiscated or taken away without compensation to the owner. 

The subject of the Single Tax is like Socialism. It requires 

contemplative study to grasp its meaning, and to apply it in 

the present situation. Nevertheless, the abstract principle, 

though apparently impractical, may be gradually fitted to our 

modern situation and the people wake up some day to find that 

a change has prevailed which is bad for all. To grasp the 

import one must realize that the Single taxer advocates taxing 

away Land-values and not directly taxing the land. 

Let us see what Henry George says on this subject: In 

Book 7, of "Progress and Poverty," he says : 

"When it is proposed to abolish private property in land the 
first question that will arise is that of justice. * * * * If 
private property in land be just, then the remedy I pro- 
pose is a false one ; if, on the contrary, private property in 
land be unjust, then this remedy is the true one. 
Again he says: 

"Whatever may be said for the institution of private prop- 
erty in land, it is plain that it cannot be defended on the 
score of justice. The equal right of all men to the use of 
land is as clear as their equal right to breathe the air." 
Then he says further : 

"There is in nature no such thing as a fee simple in land. 
There is on earth no power which can rightfully make a 
grant of exclusive ownership in land." 
Here is the plain declaration denying the right of private 

ownership in land. 

Again George says: 

"If all existing men were to unite to grant away their equal 
rights, they could not grant away the right of those who 
follow them. For what are we hut tenants for a day?" 
Here George denies the right to bequeath a piece of prop- 
erty to an heir. 

94 



Then he rather strikes the final blow by saying: 

"Let the parchments be ever so many, or possession ever 
so long, natural justice can recognize no right in one man 
to the possession and enjoyment of land that is not equal- 
ly the right of all his fellows." 

The fact of the matter is, individuals are now in posses- 
sion of the land, most of which, whether ownership or tenantry, 
is predicated on warranty deeds. We are protected in this pos- 
session by the legal sanction of the State. George holds that 
the present owners of land — and this applies to every small 
farmer as well as the great landlords — is a robber. He is in 
possession of the land by force. In a veiled way he suggests a 
revolution to retake the land. Let us quote exactly his own 
language. : 

"It is not merely a robbery in the past; it is a robbery in 
the present — a robbery that deprives of their birthright the 
infants that are now coming into the world ! Why should 
we hesitate about making short work of such a system? 
Because I was robbed yesterday, and the day before, and 
the day before that, is it any reason that I should suffer 
myself to be robbed today and tomorrow? Any reason 
that I should conclude that the robber has acquired a vest- 
ed right to rob me? 

"If the land belongs to the people, why continue to permit 

landowners to take the rent or compensate them in any 

manner for the loss of rent? * * * Let the landholders 

have, if you please, * * * the possession of the land, * * * 

.but rent * * * belongs to the whole community." 

He now proposes a system by which the land in effect be 

confiscated or, in other words, he turns all of the land into a 

tenant system with the State the landlord. He proposes to take 

back the land by force. He would do it as follows: 

"I do not propose either to purchase or to confiscate private 
property in land. * * * Let the individuals * * * retain 
possession of what they are pleased to call their land. * * * 
We may safely leave them the shell, if we take the kernel. 

95 



IT IS NOT NECESSARY TO CONFISCATE LAND; IT 
IS ONLY NECESSARY TO CONFISCATE RENT." 

And then lie gives the knock-out blow as follows : 

"We already take some rent in taxation. We have only to 
make some changes in our modes of taxation to take it all. 
* * * TO APPROPRIATE RENT BY TAXATION. * * * 
AND TO ABOLISH ALL TAXATION SAVE THAT UP- 
ON LAND VALUE." 

Now let us see whether the Non-Partisan League has fol- 
lowed the Henry George idea in their North Dakota legislation 
far enough to be evident, that the League was forcing a sugar- 
coated Socialist land pill down the farmers' throats. Bear in 
mind we are taking off the coating from one of these pills. The 
great Welsh philosopher, Adam Smith, says in "Wealth of Na- 
tions" that the name of the thing is not so important as the 
thing itself. We must examine the pill to know exactly its ef- 
fect as a medicinal property. Let us see if the Non-Partisan 
League has not been giving us a dose of Single-Tax under 
another name. 

Walter Thomas Mills (one of the originators of the League 
and one of its present counsellors) and the man who was sent 
into Wisconsin to speak — and who did speak in several counties 
of the State — is the author of a book entitled "The Struggle 
for Existence." In the chapter of his book entitled "The Evo- 
lution of Socialism" he says : 

"The earth belongs to all men. The earth and man are 
mutually adapted to each other, belong together, Man 
cannot live without it. Whatever right he has to his life, 
he has the same right to the earth as the sole means by 
which his life is possible. 

"Those who created the private titles to the earth created 
these titles and the owners continue to held them solely by 
force. But as force is the sole foundation of private titles, 
no such title can be valid in the face of a stronger force. 
The private owners are becoming fewer in number and 

96 



weaker in power. The disinherited are becoming larger in 
number and greater in power. Titles based on force must 
finally deliver the earth to all of the people." 

Then in the chapter entitled "The Ownership of the Earth" 
we find the following from the same author : 

"If those who are able to take it may rightfully own it, 
then it only remains for the whole people to take it in 
order to own it beyond dispute. More than this, if ability 
to take establishes the right to own, no one will dispute 
that all of the people are stronger than any share of the 
people, and therefore the helpless few who hold the earth 
are not its rightful owners, even on the ground of right- 
eousness of might, which is the last and only defense for 
their betrayal of the race by the few who wish to exclude 
the many from equal access to all the gifts of nature. 

"Private Titles Based on Force : — Unreasonable as this posi- 
tion may seem in such a bald statement of the case, the 
fact is that all private titles to all natural resources do rest 
on no other foundation than force" 

Plainly stated by Mills you have the sophism of land titles 
based on force together with the idea that "Might makes 
Right." Mills recommends taking back by force or confiscat- 
ing by force the things we have already legally ceded or trans- 
ferred to others. This is a return to barbarism, where one 
Clan by the power of might, derived from superior numbers or 
by the force of strategy, dispossesses a weaker tribe by steal- 
ing their lands, their families, and their lives. George sugar- 
coats his dose of Economic Laudanum for the farmer by offer- 
ing the taxation method rather than by using the cave-man's 
bludgeon. He knows his method of "taxation to the point of 
confiscation" will bring the sympathy to his plan, of those who 
do not own land. He is adroit to the farthest degree in his 
proposals of confiscation by taxation, and Townley imitated him 
very closely. Let us analyze Mills proposals. 



97 



First: The reasoning of Mills is false. The people of the 
United States make their own laws. These laws recognize and 
sanction the validity of private ownership in land and protect 
the owner in peaceful possession of those rights. 

Second: The first or primary title is founded in a patent 
in fee issued in perpetuity by the Government. 

Third: The Government has its title through, either ac- 
cession from others who had rightful possession of it or through 
righteous conquest, or purchase. 

Fourth: No American homestead, therefore, rests in a 
title based upon unrighteous force. Owners of land in this 
country can transmit their titles to posterity. This transmittal 
embraces all rights whether of land or other property and 
whether by inheritance or sale. 

Fifth: Taxation for purposes of the support of Gov- 
ernment, whose first duty is Order, and to the point of protect- 
ing owners in peaceful possession of property is right ; but tax- 
ation to the point of destroying the selling value of a thing, 
thereby forcing confiscation, is dispossession by force. The 
American idea is that "Right Makes Might," but Mills and the 
League stand for the policy that "Might Makes Right." 

There is another very plainly marked analogy between the 
work of the Non-Partisan League and Socialism. It is the dis- 
tinction made between the land and the improvements on the 
land. This must be considered in arriving at an understanding 
of the Single-Tax. George declares (and he is referring to 
improvements on land) : 

"This right of ownership that springs from labor excludes 
the possibility of any other right of ownership. * * * What 
most prevents the realization of the injustice of private 
property in land is the habit of including all the things 
that are made the subject of ownership in one category 
as property * * * The real and natural distinction is be- 

98 



tween things which are the product of labor and things 
which are the gratuitous offerings of nature ; or, to adopt 
the term of political economy, between wealth and land. 
• «***«** A house and the lot on which it stands 
are a like property ***** and are classed * * * as real 
estate." 

George, the Socialist, makes the plain distinction between 
land, the gift or nature, which cannot be owned by individuals 
according to him, the cultivation and the buildings and other 
improvements, which, being labor, he considers as wealth. The 
farmer should get this: Under the Single-Tax idea, the in- 
dividual cannot own land and land is not wealth. 

The Non-Partisan League followed the lines of Socialism 
closely. The more one studies their program, the more he is 
convinced they were aiming to found a state modelled on the 
theory of Marx. If the policy of the Non-Partisan League were 
to be carried out, the farmers of the Northwest would face con- 
fiscation by taxation. Very early in the history of the move- 
ment, Townley undertook to introduce the Single-Tax into the 
legislation of North Dakota. We refer to Bills 43, 44 and 94, 
proposed in the first special session of the Legislature. They 
contain in effect the complete application of the Single-Tax 
principles. If they had passed, succeeding history would have 
been most interesting. However, these bills met the militant 
opposition of such men as Senator Mees, Attorney-General 
Langer, Auditor Kositzsky and Commissioner Hall. This op- 
position killed the bills. After this defeat Townley called his 
following into secret caucus and standing upon a platform, with 
these proposed laws in his hand held aloft, stated that : 

"These measures have been drawn by the best brains in the 
country — (Mills of course) — and I demand that they be 
passed without the change of a single comma or period." 
Was this the voice of the farm Jacob or was this the hand 

of the Socialist Esau? The fact is, it was Townley, the state or- 



ganizer of the Socialist party, engaged in pushing one of his 
sugar-coated pills down the throats of the farmers. 

Let us analyze these bills. Take bill No. 43. This classifies 
land (not houses) for purposes of taxation. Class 1— includes 
all unused lands and all farm lands in excess of 640 acres 
owned by one party. Class 2 — under this class are compris- 
ed all farm lands of 640 acres or less, whether all or partly 
used for farm purposes, also within village, town or city limits 
2 acres or less if valued at less than |2,500. All land under 
class I to be assessed at 100% of its true and full valuation ; all 
land in class 2 to be assessed at 60% of its true and full valu- 
ation. Here we have a distinctive land taxation provision. 

Now let us take Senate Bill 44 which reads as follows : 

"Section 10. Structures and improvements used as homes 
on town or city lots to the amount of $2,500, provided that 
the total value of such structures and improvements be not 
in excess of $3,500, shall be exempt from taxation." 

Here you get the subdivision dealing with buildings, struc- 
tures, and other improvements. 

Let us further illustrate. Thus if there are three men, say 
A, B and C, each owning a house. A, having a house valued at 
$2,500 would not have to pay taxes at all; B, having a house 
worth $3,500, would pay taxes on $1,000, the difference between 
$2,500 and $3,500; and C, having a house worth $4,000 would 
pay taxes on the whole $4,000. Senator Mees investigated, tak- 
ing his own home town as an example — the town of Glen Ullin, 
in Morton County, having about 1,500 inhabitants. 

Senator Mees found that there were a few houses valued 
at $3,500 and upwards; then there were quite a number valued 
between $2,500 and $3,500; but the great majority of the houses 
were worth less than $2,500. Under the proposed law and un- 
der these conditions, the taxes or revenue necessary to pay the 

100 



expense of Glen Ullin would have to be assessed on the houses 
valued at more than $2,500, but the burden of taxation would 
fall upon the houses worth $3,500 and upwards. It was found 
that each of these houses would be assessed approximately $500 
per year. The owners of such houses, therefore, being unable 
to bear such excessive burdens, would naturally let the houses 
go for taxes. These conditions, likewise, preclude the possibil- 
ity of an individual owner of a house owned to rent, doing so 
profitably in competition with the state as a landlord. 

Now supposing that a house valued at $4,000 and upon 
which the $500 tax rendered the property unremunerative to 
the private owner forcing delinquency, then said property) 
becoming that of the State, it may be argued that the 
rental the State would receive out of such property would be 
fairer and in the end yield a greater taxation than if held in 
private hands. Suppose the house were valued at $4,000, and 
the lot upon which it stood at $500, or a total investment of 
$4,500; ordinarily, such a property would not yield a rent of 
more than $500. Out of this the State, as landlord, would 
have to pay depreciation, make repairs and keep the dwelling up 
to a fair living standard, paying for all improvements of streets 
and all insurance on buildings, and the balance or whatever 
was left might be placed in the general fund of the State. Bill 
94 shows one of the ways the State would get possession of the 
land and the home. 

It may be stated, that chagrined at their defeat to put 
over the Single Tax Bills 43, 44 and 94, the League imported 
Prof. Boylance from Utah, a noted exponent of the Single Tax 
idea. The State Tax roll was submitted to him for revision. 
The Professor so revised the taxable values as to increase the 
state taxes in North Dakota in 1919 over those of 1918 77.22%. 
Admitting increase in cost of materials, living and general 

101 



expenditures caused by the War, the average increase in the 
taxes of North Dakota exceeded those of the neighboring state 
of Minnesota by about 60%. We must therefore place the cause 
where it belongs. No question it flows from the policy of the 
League in foisting Socialism upon the State. New and high 
salaried commissions were one cause. Bear in mind, that the 
Immigration Commission could spend upwards of a quarter of 
a million dollars in importing Socialist agitators into the state 
for propaganda purposes, or sending them into other states for 
the same purpose. Then there was the inauguration of state 
industries, such as the Drake Flour Mill and the State of North 
Dakota Elevator, with their train of inexperienced manage- 
ments and employes, and the consequent waste which result- 
ed. The incapacity of the state officials and the managing of- 
ficials of these industries was so evident, and there was so much 
dishonesty honey-combing the state banking system, that it par- 
alyzed the efforts which otherwise might have been employed 
for successfully managing the affairs of the state. Not only 
as a result of this bad policy did the taxes increase 77.22%, 
but there was a deficit in the year 1919 of $740,908.00. 

The farmer was caught in a very simple trap. What was 
it? The pill was there, though quite thickly coated. He was 
not told by Townley that they were attempting to put the 
Single Tax theory into practice, rather, he was tempted by 
the bait that all farm improvements were to be exempted from 
taxation. This was truly a very alluring bait to hold out. 
The same alluring argument was held out in the State of Wis- 
consin by the League leaders. Farmers are prone to take too 
much for granted and not think or decide for themselves. If 
they had, a sense of the situation would have convinced them 
that the improvements on grain growing farms are light com- 
paratively. The farmers, "sowed the wind" and as usual they 

102 



"reaped the whirlwind." In 1918 farm lands of North Da- 
kata bore Eleven Million One Hundred Ninety Seven Thousand 
Dollars ($11,197,000.00) out of a total tax of Twenty Million, 
Four Hundred Thousand Dollars (f 20,400,000.00). In 1919 
the land bore a burden of Nineteen Million, Seven Hundred 
Twenty Four Thousand Dollars ($19,724,000.00) out of a total 
of Twenty Eight Million, Two Hundred Nineteen Thousand 
Dollars ($28,219,000.00). There was a transfer of the tax 
burden to farm lands amounting to Eight Million, Six Hundred 
Forty Eight Thousand Dollars ($8,648,000.00) or about 77%. 
At the same time the taxes on general industry, exclusive of 
land decreased Eight Hundred Twenty Nine Thousand Dol- 
lars ($829,000.00). You may call it by what name you please; 
here you have the result of the Single Tax theory when put in 
practice. In effect, the North Dakota farmer saved One Mil- 
lion Dollars in taxes on improvements and paid Nine Million 
Dollars increase in taxes on land. That is the fact, and since 
that time the seed sown in the early League days is still bear- 
ing the bad effect and the problem is still there to be solved. 
Well may we ask — who has been the gainer, and certainly we 
may answer — not the farmer. What better system, the farmer 
may be asked, could be devised to extinguish the free owned 
homesteads of this country? If the Non-Partisan League pro- 
gram so worked out, is it not fair to presume that it was their 
intention that it should so work out? 

Now, in order to better understand and to exemplify the 
North Dakota situation with which we are threatened by an 
invasion into this State, we will take at random certain repre- 
sentative parcels of land in various counties of North Dakota. 
We compare the tax lists for 1918 and 1919. 

Mercer County: 1918 1919 

Thos. Fegenkau— All 23-144-90 $254.44 $627.78 

Edward Oster— NE*4 7-144-86 62.26 123.71 

103 



Richland County : 

Theo. Larson— NE% 28-133-48 63.90 112.91 

Chas. R. Pickney— SE14 21-130-47 58.22 149.86 

McHenry County: 

J. E. Westford— SWi/4 25-159-78 43.30 85.97 

Ole Gilbertson— NE14 15-156-76 54.58 120.79 

Stutsman County: 

J. A. Coffey— All 10-144-62 374.80 522.64 

Dema Weld— B% 21-140-67 89.41 165.10 

Barnes County: 

F. W. Krenkamp— NE% 1-140-58 79.74 273.04 

Frank Heimes— NWy 4 19-140-58 57.19 220.46 

G. N. Rassmusson— All 7-143-59 249.83 495.91 

Dickey County: 
Bruce Scott— NWy 4 5-131-63 50.90 107.43 

Grand Forks County: 

J. R. Pupore— SE% 19-153-50 53.30 119.34 

A. O. Trageton— NW% 32-149-54 67.77 128.49 

Traill County : 

Ole I. Hanson— SW14 28-146-50 76.64 138.12 

T. R. Tobiason— BW% 8-148-53 101.32 209.94 

Benson County: 

W. J. Church— SW^ 5-154-70 51.66 108.08 

Sherman F. Engel— NB% 13-153-71 42.66 145.87 

McLean County: 

Joseph Redman— SW% 26-150-83 45.97 117.69 

Wm. Koosman— NE14 24-150-83 ......... 45.09 112.77 

Eddy County : 

C. W. Bronlin— All 9-150-65 111.58 244.64 

O. H. Olson— NW1/4 8-149-67 31.10 103.56 

Ramsey County: 

C. O. Johnson— NWi/4 9-156-60 51.09 107.69 

N. Morison— ~E*/ 2 SWj4 and Ey 2 NWM- 

10-155-64 66.32 111.02 

Ward County: 

A. S. Spicher— SE^ 15-155-85 75.07 101.25 

John E. Fleckten— SW% 20-160-89 25.90 51.80 

104 



Emmons County : 

Arond Hasper— NW% 14-129-76 34.44 71.68 

Mike Scherr— NE14 and SWy 2 29-131-76 . . 51.98 92.86 

A. N. Drake— West y 2 Sec. 8-132-76, except 

Townsite of Linton (in city of Linton) 197.17 471.86 

A comparison is shown where for the year 1919, taking 
examples of Marsh County Minnesota lands and Walsh County, 
North Dakota lands, such lands lying in close proximity to 
each other, and being topographically alike, the soil and gen- 
eral nature of the country being the same and the farms and 
improvements alike ; that the average state tax on the lands in 
Walsh County, North Dakota are nearly 300% higher than the 
same lands under the same general conditions in Minnesota. 
Taking all of these examples concretely, they speak eloquently 
against the tax policy of the Non-Partisan League. 

Recently the League has been on trial in North Dakota. 
Having invaded Wisconsin, we desire to call the attention of 
the farmers of this state to that fact. They have a firm foothold 
here in the State. No matter how far adrift we have gone from 
sane reasoning in the past, we must get back to safe moorings 
for the future. We must do it in a spirit of "malice toward 
none and with charity towards all." The fact is, the tax-paying 
farmers of North Dakota sat as a jury with the Non-Partisan 
League in the defendant's chair. The judge sitting in the case 
was the farmer's purse or ex-checquer. The charge made was 
that the farmers had been robbed by the League, not only in 
increased taxation but that they had been saddled with a bond 
issue equaUing Seventeen Million Dollars ($17,000,000.00). 
Farm lands must be valued and are valued for taxation pur- 
poses upon their selling value, which is usually based upon their 
power of production. In the first instance, you have the mort- 
gages on the land as a lien on those lands. Then you have a 
general or blanket mortgage issued by the State of Seventeen 

105 



Million Dollars. Is it any wonder that the farmer jury of 
North Dakota opened their eyes when they listened to the evi- 
dence with unprepudiced minds, and threw off this Socialist 
regime, that was undertaking to extinguish private ownership 
of land and to inaugurate the state as a landlord? Farmers 
everywhere realize that landlordism has been the curse of 
the world. The interest on this tremendous debt added to other 
fixed expenditures, as interest on mortgages and taxes has 
wiped out the net income of the land, so that in effect there is 
no net income. Here you get Henry George's Single Tax theory 
in practice as finely expressed as he could do it himself : "TAX- 
ATION TO THE POINT OP CONFISCATION." 

So far as it goes, the foregoing embraces the Single Tax 
idea fully. It follows the line so closely that it may be taken 
as conclusive evidence that the ultimate aim of the Townley 
movement was to bring the land under the Single Tax or So- 
cialistic program. Now, what would that mean in practice? 
It would mean that the state or nation would be the landlord 
and the tiller of the soil would be the tenant. Up to the Civil 
War we had a situation very like this. In a large part of the 
Country there was a great landlord and the slave who did his 
bidding. The landlord had the power of life and death over the 
worker of the soil. It proved, however, that this system was 
not consistent in free America. One of the most bloody wars 
of history was fought in order that this problem might be 
settled. Lincoln declared that the Nation could not exist "half 
slave and half free ;" that it must become one thing or the other ; 
and through the Providence of God, it became all free. We ask 
the farmer, sitting at his own fireside to question his own soul ; 
would he change the home he has in present possession, humble 
though it be, for the alluring theory of George "that all 
persons are entitled to enjoy the land in common as the air 

106 



we breath?" We have said the state would be the landlord. 
People owning lands and houses would have to rent or operate 
them in competition with the state. All of this seems fatal to 
the life of our cherished free institutions. The thrill of owner- 
ship, the pride one has in the improvement of his own property, 
the natural love of rearing one's family under his own rooftree 
are the incentives that make for independent individuals and 
therefore develop great nations. The proposed laws of Town- 
ley, which after all were the cloven hoof of the Single Tax ob- 
truding itself into our National life, would mean the final over- 
throw of our American institutions. It is argued by the Prole- 
tariat that the Single Tax theory is ideal and that they desire 
its application to our modern land situation. The Non-Partisan 
program tends strongly to meet the wishes of the Proletariat 
or that person who works for wages and does not own nor cares 
to own a home. We may grant this for the man who does not 
want a home, but how about the American farmer? What 
takes place in North Dakota, spread out into ten or twelve 
other states, may influence the future growth and destiny of 
the American farmstead. North Dakota has great areas of 
land not yet fully developed. Under the League program these 
lands held by the state would be rented to the farmer. In case 
of delinquent taxes, there would be no competitive bids but all 
/and so delinquent would fall into the hands of the state. More- 
over, as the League planned to have farm mortgages owned or 
held by the State Bank, such mortgages (which, after all is 
ownership in some degree) if foreclosed, such foreclosure and 
levy would be made by the state ; thus these lands, the same as 
delinquent tax lands, would finally become the property of the 
state. What could tend more directly towards a Single Tax or 
State ownership of land than these policies? Now is this what 



107 



the people require for their general happiness and welfare? Let 
us see. 

First. The State is sovereign. When we speak of the 
State, we also include the nation. The State as a sovereign 
power would be the landlord. Does the twentieth century farm- 
er want that? The title of the land would reside in the State 
as in olden times the title reposed in the sovereign or king. 
Not only would this be true of the land, but also if the title to 
the land reposed in the State, so would the title to the home 
likewise. Does the twentieth century farmer want the State 
to supervise the home? What would this do to private initia- 
tive. IT WOULD COMPLETELY SMOTHER IT. 

Second. What would become of one's citizenship? To all 
intents and purposes the citizen would become a ward or a 
hireling of the state. He would vote in accordance with the 
views of the state as laid down by the bosses appointed by the 
State. If he did not carry out their dictates in a compliant and 
subservient mapner, he would be liable to be dispossessed of his 
lease from the tftate. Here we find the free citizen going back 
into a sort of feudal or state serfdom. 

Third. Private ownership of land is a natural inclination. 
All animal nature desires and demands a home ; the lion in his 
jungle; the fox in the hillside; the bird in its nest; and thus 
too in human nature this instinct for a home becomes a passion. 
There is no other sentiment in the world stronger than that for 
the home. Man's every instinct yearns for a home. 

Fourth. It is argued that the League program does not 
go so far as to apply the Single Tax so as to overturn the home- 
stead passion of the American people. As against this argu- 
ment we say that the evidence is plain that their program tends 
directly to this end. Nothing can bring state or Government 
ownership of land more quickly than an application of these 

108 



high taxes to the land, because it takes away all income beyond 
mere living wages, which is confiscation by taxation, In this 
case, where there is no profit in farming for the land holder, be- 
yond a mere living wage for himself and perhaps less for his 
children, he gives up the land and a tenant class is developed 
and a system of serfdom something like old-fashioned slavery, 
ensues. 

Fifth. In order to bring the land under state ownership 
and control it is not necessary that the state shall own all of 
the land; it is but necessary that it shall own a fair percent- 
age of the land. The great danger herein, as any farmer can 
see, is that he and his family would have to compete with the 
state both as a producer and a seller. Where the state is sover- 
eign, it embraces the right to fix prices arbitrarily. Does 
the American farmer want to place himself in the danger of 
coming under such a system? Another imminent danger which 
must be apparent is the fact that as non-property holders in- 
crease in power, a jealousy would develop against the property 
owner and thus a public discontent would follow which be- 
comes a menace to every property holder. 

Sixth: The very crux of our national life centers 
in production. Farm production is the first source of our nat- 
ional wealth. The Single-Tax idea would kill — as it appears to 
us — the greatest incentive to production by placing the farmers 
under the landlordship of the state. This means slavery. We 
believe the early fathers of the republic had this free labor vs. 
slave labor in mind when they began to pave the way for the 
extinguishment of slavery. We believe that the Homestead 
Act that followed in the wake of our Civil War was the con- 
summation of the desires of the early fathers. We must not 
lay a desecrating hand upon this temple of freedom so conceiv- 
ed and dedicated by them. Those who argue solely from the 

109 



premise that the farm has become a business institution and 
that the value of the land must be fixed upon that theory are 
away from the mark. American land valuations have from the 
beginning been fixed and are still based upon the home value 
as much as upon any other basis. People of foreign lands, 
who were not permitted to own their own homes there em- 
igrated to this country for that very purpose, and the induce- 
ment that was held out to them, that here they could own a 
home. Where is there an old pioneer who in his mind's eye can- 
not still picture that little log cabin in the woods that gave him 
and his growing family their first solemn feeling that they 
owned a place they could call home. 

Many, many years ago, Jenny Lind, the incomparable 
songstress, stood in Old Castle Garden midst a multitude of 
more than Forty thousand. Many of them had just come in 
from all the ends of earth ; others again had arrived but a little 
while before, and still others had already firmly planted their 
feet in America's free soil. A majority were linked by the 
mystic chords of memory and of consanguinity to motherland 
and fatherland. Miss Lind arose for the final number. It was 
the old, old song — "There's no place like Home." The effect 
upon the great audience was spontaneous. Possibly never before 
or since, on such an occasion, was there such a riotous tumult 
of mingled joy and sorrow as followed her rendition of that 
heart-thrilling old-fashioned song. The audience arose en- 
masse, they wept and laughed by turns, persons became hyster- 
ical, — the tumult would subside into a solemn joyous murmur 
and rise again in cheers that fairly shook the roof of the old 
garden under which, for years, the old order had been chang- 
ing into the new. It seemed as though she would not be per- 
mitted to stop. It was the simple voice of a human creature 
touching a sympathetic and responsive chord in the hearts of 

no 



her listeners, by an expression of their souPs deepest senti- 
ment. It will ever be so. Whether in song or in story, the 
home will be the citadel of power and the glory of the Country 
of which it is an institution, and the American home is more 
than that; it has been, and still is, the beacon light, on the 
mountain peak of civilization, which cannot, must not be ex- 
tinguished. Money value in home values! Avaunt with such 
a theory! America will have none of it! The farm is not a 
business primarily, here; it is a free American Institution. 

These laws proposed by the League, were the boldest stroke 
which have been proposed in this Country, to bring about state 
ownership of land. By adopting such laws, thus transferring 
the burden of taxes of the village or city to the owner of farm 
lands, it would be but a little while until this country would 
be practically under the dominion of the Single-Tax. We won- 
der if farmers stop to think how close we are to that now. Some 
of them will answer — with reason — that the taxes are so high 
now that home ownership is a great burden. This argument, 
too, must be granted, in some degree, but if it be true, it is 
largely the fault of the farmers themselves who do not take 
that active part in politics and who do not lend their exper- 
ience and judgment of farm affairs towards solving this sub- 
ject of taxation. Instead of taking hold of this problem our- 
selves as farmers and solving it in our own way, we leave it 
for so-called experts, theorists and professors who are more 
apt to follow after the George theories than after the practical 
views of the farmers. Our United States census tells us that 
nearly 40% of the farms are now worked by tenants, from which 
follows the suggestion that more than one-half of the produce 
of the farm consumed in this country may be produced from 
tenant lands. It is very easily discerned that we are, as a peo- 
ple, approaching thin ice. 

ill 



We may as well squarely face the situation. There is no 
dodging the portents of the future. If the Single Tax pro- 
gram prevailed, even in part, and the balance of the Non-Par- 
tisan League program be put into effect, there can be no other 
conclusion than that the tiller of the soil and his family will 
be forced to bow under the burden of a species of slavery. 
If farmers complain that this is true now, and that the only 
blessing of owning the land is that they have their own home, 
how much worse will it be when that privilege is taken away 
too. The question is though — shall it be state ownership of 
land with practical slavery or shall it be a policy with the 
privilege of free ownership of land occupied and tilled by the 
men and women who now possess it? In brief, it indeed re- 
solves itself into the question of the free-owned homestead of 
Lincoln vs. the State Owned Home of the Non-Partisan League. 
The Lincoln idea leads inevitably to a more perfect civilization; 
the Non-Partisan idea tramps back to barbarism and social 
anarchy. 



112 



CHAPTER IX. 

THE BANK OP NORTH DAKOTA. 

ONE OF THE MEANS EM- 
PLOYED BY THE NON- 
PARTISAN LEAGUE TO 
FASTEN THE SOCIAL- 
IST PROGRAMME ON 
THE FARMERS. 

From the very beginning Townley believed, and his ad- 
visors confirmed him in it, that unless he could control the 
banks and credit of the state, or of the group of states accepting 
the Non-Partisan League Program, he would fail in his gen- 
eral plans. He therefore decided to start a State Bank at once, 
A state owned or a state managed bank might be a success, 
though experience appears against it. Certainly no such ven- 
ture should be attempted until it is known, beyond the perad- 
venture of a doubt, that the present system of banking cannot 
function, or in other words cannot fully meet the demands of 
a growing and expanding commerce. It is possibly true that 
many bankers in the past have been quite mercenary. They 
have viewed themselves as the custodians, so to speak, of all the 
business of a community. Out of this naturally grew an ar- 
rogance, which, no doubt, in many instances has over-stepped 
the mark. A right minded banker is a great blessing in any 
community. He is the financial doctor. Like all other kinds of 
business or movements its success or failure is largely reflected 
in its leadership. So far we have record of fifteen different 
experiments in as many different states where state owned 

113 



banks have been tried and which ended disastrously. The 
reasons given for the failures may be listed as follows : 

Lack of paid-in capital. 

Loss through political loans. 

Legislative interference. 

Fraudulent use of funds. 

Issuance of notes without sufficient reserve. 

The state bank of North Dakota appears to have inherited 
all of these weaknesses and taken on some others, that had not 
previously been known. 

The state bank of North Dakota was a political football. 
It need not have been but this is what it was established for. 
The Industrial Commission consisting of the Governor, the At- 
torney General and the Commissioner of Labor and Agriculture 
were the controllers of the state. The bank officers were ap- 
pointed by the Governor and in most instances they, like all 
state subordinate officials, could be removed by the Governor — 
the titular head of the League — without cause being given. In 
this way the state bank of North Dakota could become a tool 
in the hands of this little cabal. The bank was kicked back 
and forth across the political arena until it lost every semblance 
of a real bank. Under the new administration, it is now, how- 
ever, in process of reorganization as a State Mortgage Agency. 
As such it may prove beneficial to the people. 

The law governing the bank of North Dakota contains 
some very interesting provisions. One of the provisions of the 
law is as follows: 

"Whenever any of the public funds hereinbefore described 
shall be deposited in the bank of North Dakota as here- 
inbefore provided, the officers having control thereof and 
the security on the bond of every such official shall be 
exempt from all liability by reason of loss from any such 
deposited funds while so deposited." 

114 



This provision was made, so as, evidently to remove per- 
sonal guilt, and that no liability should lie against those officers 
placing trust funds in the Central bank. It seems to us that 
the farmers of Wisconsin should give this question serious con- 
sideration, and it is only fair to ask that if there is any per- 
son who temporizes with this situation in this state that he, 
like the man in Scripture, be "vomited out of the mouth. " 

It is customary for trustees to give bond and frequently 
also to accept some sort of pledge from a bank where such funds 
are deposited. This is right and proper. The public has a 
right to be certain that the funds that are taxed from them 
for the purpose of government shall be given perfect safeguard- 
ing. According to the above paragraph, under the law of North 
Dakota — if the Non Partisan League program as applied to 
North Dakota were put in effect in Wisconsin, then, any direc- 
tor, officer or controller of the bank would be relieved of 
responsibility as to mismanagement, fraud or any other reason 
where a loss of public money was sustained. 

"All deposits in the bank of North Dakota are hereby 
guaranteed by the state." 

This is worth considering by the farmers of Wisconsin. 
This is another morsel of political wisdom for which they 
paid the sum of at least one quarter of a million. "Guaranteed 
by the state." What is the state? The people constitute the 
state or nation. What fools Townley must have thought the 
farmers were, when he imported a law to organize a state bank 
relieving its officers of all liability for mismanagement or 
dishonesty, and in case of a loss of the deposits, they (the farm- 
ers) would be compelled totax themselves to make the guaran- 
tee good. If one can beat this in any political system, one must 
go a long ways to do it. It almost seems as though the intelli- 
gence of the farmers were grossly insulted, and it is proper at 

115 



this time, to again call attention to the fact that eminent politi- 
cal leaders of the state of Wisconsin have been willing to accept 
these doctrines without compunction and pass them on to the 
farmers. 

Another paragraph provides : Funds deposited in the state 
bank of North Dakota shall be deemed "available funds within 
the meaning of that term as used in S. 1570 of the compiled 
laws of 1913. For banks that make the bank of North Dakota 
a reserve depository it may perform the functions and receive 
the services of a clearing house including all costs for provid- 
ing Domestic and Foreign Exchange and shall discount paper 
on such terms as the Industrial Commission may devise." 

It cannot be too often stated that the Industrial Com- 
mission is the Governor. He can arbitrarily, under the law, 
command that all of the funds of all of the political activities 
and subdivisions or of the industrial activities of the state, shall 
be deposited in the state bank. After that is done, these funds 
become "available funds" or in other words these funds are 
made available to be drawn upon in case of emergency. Safe 
banking counsels that funds of this character be kept available 
for all emergencies. 

The same laws likewise provided that all treasurers, state, 
county, state institutions and other institutions of that char- 
acter transfer all of their funds to the Bank of North Dakota. 
These funds are accepted by banks in the nature of trust funds 
for the reason that taxes are levied for specific purposes, and 
such funds are short time funds because they are all spent 
within the year for which issued, and as such, banks are not 
accustomed to make long time mortgage loans on the strength 
of such funds. Consequently if used on long time loans, they 
practically become "frozen" assets and tie up the financial 
activities of the state. 



116 



This is the reason why banks would not accept as cash Hail 
Insurance warrants, teachers' checks, soldier bonus checks, 
and in fact practically all checks against public funds, be- 
cause the funds against which these checks were issued were 
frozen in mortgage loans, and other loans made on doubtful 
collateral, and a large amount was tied up in the Drake Mill 
and such other enterprises of the state. 

Besides this the law provides for issuance and sale of 
Two Million Dollars of State Bonds, the proceeds of the sale 
of which were to pay for the capital stock of the bank of North 
Dakota. Under the law the bonds might be sold as far below 
par as necessary to make the sale. The law provides that in 
case the two million dollars worth of bonds were not sold, the 
bonds themselves could be turned over to the bank and held by 
it as a capital investment. Here we suggest a smile. Our 
great state, with its Wisconsin progressive idea, must think this 
a sort of a joke just after we had enacted the Blue Sky Law. 
We have heard of promoters selling the blue sky. It has been 
said that the Masonic Temple in Chicago some years ago was 
sold by a sharper to a farmer for $30,000 upon the payment of 
$3,000 down and the farmer paid the $3,000.00 but never again 
met the sharper, and we have heard of other like cases, but this 
is the first time that history records a bank organized and cap- 
italized on pure wind. 

Let us make a practical illustration. The state issues 
bonds — then sells them to its own bank accepting in payment 
thereof the cashier's check. Then the State Treasurer turns 
right around and deposits the same check in the same bank 
as so much available cash, when in fact throughout the whole 
transaction there never was one cent of cash involved. Ye 
gods and little fishes! For 25 years the progressive idea of 
Wisconsin has been to condemn the practices of high finance. 



117 



Let it be said that the Non-Partisan League program may well 

be imitated (?) by the high priests of finance in all corners 

of the world. It is high financial hydrophobia. 

Eeputable bond buyers fought shy of North Dakota's bonds. 

The following paragraph of the law will explain the reason : 

"The Bank of North Dakota may transfer funds to other 
departments, institutions, utilities, industries, enterprises 
or business projects of the state which shall be returned 
with interest to the hank. It may make loans to counties, 
cities or political subdivisions of the state, or to the state 
or national banks, on such terms, and to such rules and 
regulations as the industrial commission may deter- 
mine." 

We are not accusing state officials of dishonesty, but does this 
paragraph not leave them open to many temptations? Again, 
there seems to be no provision made for a sinking fund as a 
protection for these bonds. No banker, then, could honestly 
recommend the purchase of such bonds to any of his patrons, 
as long as the Bank of North Dakota would be under the un- 
restricted control of the industrial commission, "which is al- 
ways the Governor. " 

Thus all mismanagement and fraud shall be relieved of 
personal liability, and if all of the funds so deposited shall have 
been lost, Townley gives us the assurance and makes it a law 
that we shall tax ourselves in order to pay up for our own 
foolhardiness. About the only good thing about the bank prop- 
osition in the Non-Partisan League program is that it makes 
the farmers pay high for being taken as fools. Perhaps in the 
end the lesson, all too dearly learned in North Dakota, will, if 
told in every nook and hamlet in this state, preserve us in the 
future from the inroads of Socialism applied to the farmer. 

It is only natural that a great battle should be waged by 
the conservative element of the state against the operation of 

118 



this law, and the League controlled Scandinavian American 
Bank in Fargo became the battle field. It was impossible for 
Attorney General Langer and Commissioner of Agriculture 
and Labor, Hall, to order an investigation of the Bank of 
North Dakota because of the governor's veto power on the In- 
dustrial Commission. These two men, wisely suspecting that 
things were not as they should be, ordered an investigation of 
the Scandinavian American bank, through which the Bank of 
North Dakota largely operated, with the result that the Scan- 
dinavian American bank was ordered closed. Nor was this an 
"on the spur of the moment" affair, for in April 1919, when 
the bank was examined by deputy bank examiner B. E. Hal- 
dorson, he found conditions bad enough, and warned them to 
get rid of certain unsatisfactory and past due paper, and also 
told them to curtail their over drafts and build up their re- 
serves. In fact, he stretched a point in law giving them a 
chance to redeem themselves because the bank at that time 
was already overloaned. Bank examiners seldom warn twice 
and bankers know it. On October 2nd the Scandinavian Amer- 
ican Bank of Fargo was declared insolvent by the banking 
board of North Dakota, ordered closed, and placed in the 
hands of a receiver. B. E. Haldorson, deputy bank examiner 
was appointed temporary receiver and placed in charge of the 
bank. The bank's association with the Non-Partisan League, 
for which it acted in a financial capacity for about two years 
was largely responsible for the action of the banking board, 
according to the official report. Assistant Attorney General 
A. L. Sheets, and two deputy examiners who had been going 
over the bank situation for a few days previous, placed before 
the banking board the information on which the action was 
based. In the report to the banking board, Mr. Sheets termed 
the bank "a vast, unwieldly, financial monstrosity unable to 

119 



take care of its obligations." Although the capital stock' of the 
bank was f 60,000 on which it could loan according to state law, 
on any one particular loan, only 15% of its capital which would 
be f 9,000, yet we find among others, the following excess loans : 

1. Loan of $170,000 to the Consumer's United Stores 
Company. 

2. Loans of $148,824.26 to the National Non-Partisan 
League. 

3. Loans of $66,182.28 to the League Exchange. 

4. Loans of $47,950.06 to the Publishers National Service 
Bureau. 

5. Loan of $12,000.00 to the United States Sisal Trust, 
on the notes of J. R. Waters, former bank examiner, and 
at the time manager of the Bank of North Dakota. 

6. Loans of $47,088.00 to H. D. Hagarty, former associate 
of John Hastings and Thomas Allen Box, Non-Partisan 
League financiers, and of J. R. Waters. 

7. Loan of $23,000.00 to H. E. Knaack, associate of H. D. 
Hagarty, who died without assets of any kind. 

Excess loans, that is, loans made to companies and individ- 
uals in excess of the legal permit of loans that may be made 
by any bank on the basis of its $50,000 capital and $10,000 
surplus, were placed in the examination report at $734,194.82. 
Another startling revelation in the report was that $291,435.55 
of the securities given by the Consumer's Stores Company as 
collateral for loans was not in the bank, there being nothing 
to show for it but receipts signed by officers and employees of 
that company; but were in charge of a woman in the employ 
of the League and the Consumer's Stores Company. 

J. R. Waters, the manager of the bank who had never 
run a bank a day in his life, was appointed manager of the 
bank the day it was opened; in fact, he was running a livery 
stable in Iowa before he came to the state. After the bank 
scandal, it is true, he was removed and instead was appointed 
bank examiner, although he knew absolutely nothing about 

120 



banking except — what he had learned as manager of the bank. 
Another violation of the banking principles was that the League 
Exchange had fifty-seven shares of stock in the Scandinavian 
American Bank, and that very stock was used as security in 
payment for itself, which would be the same thing as if Jones 
bought a cow from Brown and then, as security to Brown left 
the cow in Brown's possession to feed, with Jones milking it. 
Eealizing that the closing of the bank meant loss of prestige 
to League leaders, they used every means at their command to 
reopen the bank, securing an injunction, ousting Haldorson as 
receiver, and taking the case before the State Supreme Court. 
Undoubtedly the decision of the court substituting the Social- 
ist Loftus and declaring post-dated checks as good collateral, 
was under the influence of the power behind the throne. The 
whole trial according to the dissenting opinion of Justice Bird- 
sell was a "travesty of justice." In order to prevent this same 
thing happening to other League banks, Governor Frazier next 
wrote to each of them instructing them to refuse to show their 
books to any deputy bank examiner unless they had been first 
notified by the state examiner of banks of their coming. This 
proceeding on the part of the governor removed from the 
banks one of the restrictions that goes far in keeping banks 
in line. When the banking laws of the state are honestly and 
courageously executed, no banker who values his career, would 
dare to have any shady dealings on hand for fear the exam- 
iner may drop in at any moment. In every well regulated 
state the banking board uses such a precaution to safeguard 
the funds of the bank. The history of the Scandinavian Amer- 
ican Bank of Fargo is another blot on the Socialist regime of 
that state. One officer is a fugitive from justice, another is 
convicted, and Townley himself now served with warrant of 
arrest. This is the latest in the League Bank Fiasco. 

121 



This is enough of the banking question. It proves the 
case. Since the recall of the Industrial Commission in the 
recent North Dakota election, the bank is being reorganized 
as a purely state mortgage bank. It is reported that there is 
hope that under the reorganization the bank may develop so 
as to make it a useful institution for the people of the state. 

The Secretary of the North Dakota Banking Association 
is sanguine that such a consummation is possible. The follow- 
ing quotation is taken from a recent letter of his: 

"The Bank of North Dakota is being reorganized on a sound 
business basis and will be primarily an institution for 
handling first mortgage farm loans. The recall election 
does not repeal or alter the so-called Bank of North Dako- 
ta law, so that the organization of the bank remains the 
same, with the exception of new officials, who are thorough- 
ly competent of handling the organization in a conserva- 
tive, intelligent manner." 

The plan of the new managers would be this, quoting 

from the same letter: 

"The business of farm mortgage loans can be handled to 
good advantage through an organization of this kind, by 
which the loans can be made and, as the mortgages ac- 
cumulate, they can be placed in the hands of a Trustee 
and bonds issued with the mortgages as security, which 
can be sold to much better advantage than selling mort- 
gages direct to investors." 

All of this presupposes that the League shall not be returned 
to power. 

Most banks with which farmers do business are small 
town banks and often times a majority of the stockholders are 
farmers. It is true that the question of acquiring funds for 
farm purposes has been one of the great stumbling blocks to the 
success of the American farmer. The banking system of Amer- 
ica seems to have the idea that liquid or so-called short time 
loans are not as necessary to farmers as to other business, 

122 



whereas exactly the opposite is the truth. In order that the 
farming business shall succeed, the banking system, of the nation 
should be revised, so that each separate division may be proper- 
ly cared for. There should be a liberal system of mortgage 
loans. It should be more comprehensive than the present sys- 
tem, though both our state and federal governments seem on 
the high road of successfully meeting this issue. There is no 
reason why the question of liquid or short time paper should not 
be forthcoming to the farmer, and this is an issue that is being 
met, hut it must he more universally and comprehensively met. 
It is not necessary to go into the details of banking. The records 
and experience of the banking venture in North Dakota con- 
firms the fact, that the leaders of Socialism, when put in the 
position of guiding the machinery of the state are just as dis- 
honorable and immoral as the world evinces they are, when we 
come to read over the records of Socialism. 



123 



CHAPTER X 

THE STOEES 

THE CONSUMERS UNIT- 
ED STORES COMPANY. 
J. RUFUS WALLING- 
FORD OUTDONE- 

Every aspect of the Non-Partisan League seems to reek 
with crookedness of one sort or another. Its sinuous wind- 
ings resemble the trail of a serpent in the dust. It appears to 
have no single meritorious act to its credit. The main objec- 
tive was to "get the coin." They hit upon every conceivable 
alternative. In this way the Consumers United Stores Com- 
pany was incubated. J. W. Brinton appears to have been the 
evil genius of the scheme. He was the editor of a weekly paper 
at Beach, North Dakota. While editing the paper his great 
forte was in keeping local, class or community hatred aglow. 
He specialized in keeping the farmers and the business men 
by the ears. He was the high "Mogul" of the spirit of dis- 
content. He engineered a scheme to sell the stock of his paper 
to the farmers and succeeded in doing so. In this way he got 
rid of the evil fruit of his unfortunate paper venture. After 
he had unloaded his newspaper failure on the farmers, he be- 
gan to concoct a scheme for another "shake down." Reso- 
lution with Brinton meant action. He meandered out among 
the farmers, on whom he had unloaded the newspaper failure, 
to sell them a "special privilege" to trade in an institution he 
called a consumer's store. This was located at Beach. In view 
of his newspaper experience Brinton "had to hot-foot" it or he 



125 



would be too late to sprout his new business fake. Every 
crooked mind in North Dakota, and even those who had specu- 
lative minds not yet twisted with knavery sat up and took no- 
tice, when they realized that Townley and a few others were 
succeeding in buncoing the level-headed farmers out of millions 
and millions of their hard-earned cash. 

Why not? 

The League itself charged the farmers $16.00 to $ 18.00 for 
a prescription telling them how to vote, or, in other words, the 
farmer was to take his politics as we take medicine from a doc- 
tor. Most people prefer quacks to any other kind of a doctor, so 
the farmers came to the conclusion that if they were to 
have a political doctor to prescribe their politics by the ounce, 
then they ought to pay for it ; and that they did, right royally, 
$16.00 to $18.00 per person was the premium for the privilege 
of supposedly acting in the capacity of an American citizen. 
Brinton took this seriously to heart. One day, it is reported, he 
was heard to soliloquize and about the only words that were 
distinguishable were: 

"If the buggers fall for that other graft, they surely will 
fall for this." 
Anyway, he went Townleyism one better. We presume if the 
soliloquy were all heard it would wind up about like this : 

"I will start some stores and get the farmers to stock them 
and in order to finance the deal I will charge the farmers 
$100.00 for the privilege of trading at their own store. I 
will invest very little of the money in the stock, but the 
farmers will not know anything about that." 

Or, in other words, Brinton hatched a scheme, in effect, pre- 
vailing upon the farmer to pay $100.00 for permission to live in 
his own home, that he had paid for, and which was his castle. 
Now really, can you beat it? Within a year it is reported the 
farmers found themselves with Brinton's defunct paper on 



126 



their hands and a bankrupt store. Most of the farmers around 
Beach are level headed citizens and they were ashamed of hav- 
ing been caught in this first reputed graft of Brinton's. They 
did not want the world to know. The fact is, the farmers lost 
Five Thousand Dollars (f 5,000.00) more than they invested. 
As they say, the farmers "kicked in" and then they proceeded to 
"kick out" their (mutual?) friend Brinton. The Beach farm- 
ers had enough of Brinton's high finance. 

Not long after, they heard rumors that the League "was 
coming to town." It is reported that as the high chief "After 
Cash" Townley and his Lordship — "The Slippery" Lemke 
alighted from the train, the farmers instinctively stood im- 
movable with their hands in their pockets and all faculties 
benumbed. In any event, the League got a cold shoulder from 
the farmers around Beach. However, the example had been 
set and fresh blood had been scented and besides, it was too 
good a plum for Brinton to pass up. So "J. W." hies over to 
see "After Cash" and say; Did you ever see a great Dane pup 
grab hold of a fresh bone of meat? Townley's very jaws smack- 
ed as Brinton unfolded the roseate prospects of the new ave- 
nues through which the filthy lucre would come. In fact, it 
is related they wept for joy on each other 's shoulders, and as 
they left the council chamber together, their faces were wreath^ 
ed as if in ecstacy. More worlds to conquer — more cash for 
"After Cash." From this time on Brinton was to be "high 
jigger" with Townley. Brinton had opened up the vision of 
new pastures, with more suckers in sight, and a big net revenue 
for the gang. 

An organization was formed for putting over the job. It 
is said that "cleancut crooks who looked the part of business 
men" were in high demand. Many of these organizers got 
away with from |300 to $500 per month and expenses. Every 

127 



subscriber for a "certificate" was told in "a hush" that a new 
scheme had come out of the fertile brain of the "Political 
Dowie" of the Northwest. Within six months the pedigrees 
of several thousand misguided farmers were added to the offi- 
cial register. They had paid a million and a half of dollars reg- 
istration fee. It is a record that will not be blotted out. It 
stands as a monument to the sagacity of a few organizers head- 
ed by Townley and Brinton and the utter simplicity of thou- 
sands of otherwise hard-headed, sound-hearted citizens. 

It is inconceivable from any angle as the report comes to 
us how these farmers were taken in by such a palpably fraud- 
ulent undertaking. Here it appears they were putting up" 
money to stock stores with goods and then paying for a "cer- 
tificate" for the right to buy their own goods, over their own 
counters, in their own store and — Gee Whiz, after all of this 
is said and done, they signed a contract guaranteeing a 10% 
profit after they had been swindled out of $100.00 and, as it 
now turns out, they will probably not receive from the defunct 
institutions 2c on the dollar. It remained for the farmers of 
North Dakota to give us a sample of High Finance that puts 
J. Rufus Wallingford into the discard. Anyway, the high- 
binder organizer got $5.00 for each fish caught. Goodness 
only knows, if North Dakota had as many people as Wisconsin 
has, when suckerdom would have been evacuated. It is related 
that the organizers were so ignorant about the intricacies of the 
scheme that they were not always able to analyze the work- 
ings for the farmers. At any rate, it is reported that "the 
urgency being great" Townley did not stop to buy ability for 
this Consumers Stores campaign. He didn't need any. Plim- 
flammers only need apply. It is surmised too, that possibly 
Townley saw the crowd of lawyers waiting just outside his door 
to get the fees which were in prospect for keeping him out of 

128 



the penitentiary. Generally speaking, Townley had that pleas- 
ant prospect always in view. Well, anyway, thousands of farm- 
ers were roped in and badly roped in at that. We have heard 
tell of the "lightning rod days" of sixty years ago, when those 
salesmen would come around and convince the farmer that he 
needed a lightning rod for his house, the barn, the chicken coop, 
but we never before heard of it being put on the jack-ass. In 
that day it was rather common to find that a promissory note 
given in payment for the rods proved to be a pretty good sized 
mortgage on the farm. 

Suffice it to say, the farmers of North Dakota were will- 
ing to pay f 100.00 for a "certificate of privilege" to do business 
with themselves. Talk about special privilege and Single-Tax; 
Brinton had it clear over on Henry George. After George, the 
Senior died, he appears to have bequeathed his literary talents 
to George Jr., who wrote a book entitled "The Menace of 
Privilege." We commend it highly to the farmers of North 
Dakota — "Equality for all and special privilege for none." It 
is rarely, if ever, in the history of America, that it can be record- 
ed that thousands of sound-headed citizens gave $100.00 for 
the "special privilege" of looking at themselves in their own 
mirrors, in their own homes, after they had paid for both. 
Equality for all! They certainly got it. Truly, these "cer- 
tificates of privilege" are in the future to be heirlooms or 
badges of honorable distinction. "What fools we mortals be !" 
This thing, serious as it really is, becomes too humorous to be 
taken seriously. It was like taking candy away from the 
youngsters — it was so easy. It was as if the chicken thief came 
into the yard, and prevailed upon the kids to catch their moth- 
er's chickens and put them in a coop in his wagon, on the pre- 
text that they had just got out of his coop. This incident 
in years to come will be one of the humorous chapters of North- 



129 



western history. It is as if the farmers conceived and erected 
a great building for a circus. They bought the animals at a 
high price. They paid high salaries for performers, then they 
paid the audience to attend the performance, and wound up 
by paying a gatekeeper f 100.00 for their own admittance, and 
the privilege of making clowns of themselves. Walter Thomas 
Mills talks about retaking land though the element of force. 
Why use force in North Dakota? Just "tickle" the farmer 
with a "certificate of privilege" to permit him to live in his 
own home and we think you can part him from his warranty 
deed, unless his wife is not as big a fool as he was when he 
paid 1100.00. 

Now, let us examine the "agreement for buyer's certificate 
in the Consumers United Stores Company." Don't fail to get 
the longwinded name. It sounds flOO.OO worth, even though 
it don't get the farmers a cent. 

"1. We, the undersigned, for the purposes set forth 
herein, do each subscribe One Hundred Dollars, to be paid 
in cash or note, to the Consumers United Stores Company 
of North Dakota, a corporation to be formed. 

"2. It is expressly understood and agreed that the pur- 
poses for which we pay the said sum of One Hundred Dol- 
lars are: That ninety per cent of all money subscribed 
herein shall be used by said company to establish a store 

at until the sum Thousand Dollars, in cash or 

notes, shall be so applied. All surplus subscribed over 

the said sum of Thousand Dollars may be used by the 

Company either to establish and maintain a central buy- 
ing agency or wholesale establishment, or to carry on edu- 
cational work or propaganda along all lines deemed by the 
board of directors of the Consumers United Stores Com- 
pany to be in the interest of, or beneficial to farmers, and 
for the assistance of farmer's organizations, such as relate 
to the economic, educational or political interests of the 
farmers or both. 

130 



"3. The Consumers United Stores Company agrees to 

establish the store at not later than the first day of 

19 ... . and will immediately thereafter issue a cer- 
tificate to each subscriber hereto granting him the right 
to purchase goods and merchandise at said store, or any 
other store the said company may establish, and to order 
the same through the company's stores, by paying the 
wholesale market price together with the freight charges, 
plus a margin of not to exceed ten per cent. 

4. The Consumers United Stores Company reserves 
the right to cancel any certificate or certificates upon the 
payment to the subscribers hereto of their subscription 
fees, less ten dollars for each year for which service has 
been rendered. The Company further agrees that in the 
event it shall discontinue the operation of its store at 
within ten years after it shall have begun bus- 
iness, it will redeem all certificates at the rate of ten dollars 
for each year less than ten that the said store was so 
operated, and if the assets of such store are not sufficient 
to redeem all such certificates in full, then the whole 
amount of the assets of such store shall be divided pro 
rata among its subscribers. 

"5. The purpose of this subscription is to aid and as- 
sist the producers and consumers of this nation in educat- 
ing themselves to efficient co-operative buying and selling 
and to assist in makinsr democracy a real factor in our 
political and economic life." 

Paragraph 1 of the contract sets out how each subscriber 
pays $100.00 in cash, or a note to the United Stores Company 
of North Dakota, a corporation to be formed ; mind you they 
don't form the corporation until the farmer has cashed in. 
"After Cash" Townley assumes no such responsibility. He is 
a very prudent financier. According to this contract, a store 
will not be established until $10,000 has been subscribed. We 
have this fact from one of the organizers themselves. $9,000 
was supposed to be put into the store, and anything over and 
above that went for promotion and organization fees. As a 

131 



matter of fact, no store was supposed to be organized and op- 
erated unless at least two hundred memberships had been sold. 
This meant an ewtra $10,000 or more for propaganda purposes. 
Certainly, from the wreck of North Dakota it must have been 
some propaganda. Many stores subscribed way beyond the 
|20 ? 000 mark. At Kenmare, for example, $60,000 had been 
subscribed and when the farmers investigated the store they 
found the total investment not more than $3,500.00. When 
they asked Townley where the balance of their money went, 

they received the direct answer "that it was none of their 

business." The farmers of Kenmare are still waiting to learn 
how their money was spent; but do not overlook the fact that 
they have the badge of honor in their possession, — the "certifi- 
cate" eloquently testifying how they were "stung" for $100.00. 
The third paragraph of the contract agrees to establish a 
store on a certain day. In the meantime, the farmers' money 
is drawing interest at the rate of 8% for the Stores Co. Bewr 
in mind, the farmer does not buy a share of stock, but pays for 
a certificate granting him the right to purchase goods and 
merchandise at a store by paying the wholesale price plus 
freight charges with a margin of 10% for handling and, gener- 
ally speaking, as hereinbefore explained, the promotional fee 
amounting to 100% of what actually went into the store. Talk 
about watering railroad stocks! We have heard about the 
winds of the prairie of Dakota but this has got anything so far 
recorded "beat a mile." 

One thing in Paragraph 4 will impress anyone and that 
is that the certificate grants a privilege to the holder of buy- 
ing for a period of ten years. They didn't want to steal time. 
This is a real joke. The stores have been in existence about 
two years and they are now bankrupt. The farmers have the 
blessed "privilege" of remaining bankrupt for eight years more. 

132 



Still again, the farmer has the distinct honor of a "certificate" 
to pass down to posterity, that he had the privilege to trade for 
ten years. In the case of the Kenmare store, where $60,000 had 
been subscribed and only $3,500 invested, the farmers would 
scarcely realize 2c on the dollar out of the wreck. 

It takes Paragraph 5 to cap the climax. Here is the work 
of a genius. Therein is stated that the purpose of the sub- 
scription is that of educating the farmers to cooperative buy- 
ing and selling and assisting in making democracy a real fac- 
tor in political and economic life. As a matter of fact, it would 
be better put if it was said, that they were assisting in making 
farmers real factors in comical life. The farmer pays $100.00 
for learning cooperative buying and selling. "Ye Gods and 
little fishes!" we say again; the Non-Partisan League is to be 
the Political factor and the Consumers United Stores the Eco- 
nomic factor. We have heard this before in Wisconsin. It 
was a favorite song of Glen Turner and Lester Barlow in the 
summer of 1919. 

We now see the coated pill they were attempting to force 
down the Equity throat in the year 1919. The farmers will 
remember the argument they used — "The Non-Partisan 
League must be the political agency and the Equity the Eco- 
nomic agency." "Come into my parlor, said the spider to the 
fly." All the farmer had to do was to fork over $18.00 and he 
would get the whole thing in ship-shape. Then, of course, would 
come along the Consumers Stores Company and charge $100.00 
for the privilege of running in and out of your own house. Mr. 
J. G. Ingle, a farmer, sums up this sort of education as "a lot of 
experience by signing notes." We see nothing democratic in this 
agreement as to how the manager is elected. Bear in mind the 
certificate holders elect no officers. Townley and Brinton were 
not going to get caught in a trap like that. The managers were 

133 



generally picked out because, as stated by one of them, 

"Only radical, ranting, roaring reds would hold re- 
munerative positions in League activities." 
In all, as nearly as can be ascertained, thirty-four stores 
were organized. Let us suppose that 1300,000.00 had been in- 
vested in these stores, and this is making a large estimate. 
There is still a matter of |700,000.00 or f 800,000.00 to be ac- 
counted for. The Consumers United Stores Company, accord- 
ing to its articles of incorporation was incorporated by Kobert 
O'Leary, Townley's stenographer; Charles H. Heck, a Socialist 
mine agitator from Wilton; and H. L. Elliot, a wheat buyer at 
Stanley. Elliot had been a candidate for mayor on the Social- 
ist ticket at Minot. 

In summing up, we may briefly state that the Consumers 
United Stores Company, which is now defunct has cost the 
farmers more than One Million, Five Hundred Thousand Dol- 
lars (|1,500,000.) for which they have nothing whatever to 
show except, as we have previously stated, the "privilege" of 
trading in their own stores poorly conducted, with a small 
stock and little variety. 

Please pardon us for resorting to a little mirth in this 
chapter. It is not meant to ridicule the good people who were 
taken in by this palpable fraud. The whole store scheme was, 
of course, ridiculous, and it is almost impossible to write about 
it and continue in a serious strain. However, we presume that 
after all, this Consumers Store pill is about the bitterest one 
that Townley was able to make the gullible farmers swallow. 
Unless the farmers take the North Dakota experience as a 
salutary lesson, history will continue to repeat itself as for the 
past seventy years, in farm organizations ! It seems a pity that 
this is so. Even in Wisconsin today it is a shame that the 
cooperative movement is confused and uncoordinated as a re- 

134 



suit of the fact that every Tom, Dick and Harry that comes 
along with a patent panacea can get a hearing and the fruit 
borne is lack of unity in organization, no definite merit in any 
scheme and no certain profit in the investment. A metamor- 
phosis is necessary. The dawn is here — only the dawn — but 
it presages a glorious day for Cooperation if we but stop some 
of the arrant nonsense now masquerading under the name of 
Cooperation. 



135 



CHAPTER XI. 
SOME REFLECTIONS 

WERE LENINE AND 
TOWNLEY ACTING IN 
UNISON? 

In 1919, when the leaders of the Non-Partisan League came 
to Wisconsin to give the final stroke (as they put it) to the 
Wisconsin State Union of the American Society of Equity, af- 
ter they had quite successfully exterminated this organization 
elsewhere, we issued the following warning contained in a 
circular entitled "The Co-Operative Movement in Peril" : 

"If the farmers of Wisconsin, especially the younger farm- 
ers of the State permit themselves to be smirched by this 
unworthy propaganda they will be discredited by the 
decent element of the State and they will carry the stains 
of its blight for years to come. If this unprincipled pol- 
itical anaconda finds lodgement in this state with the farm- 
ers, it means death to the honest cooperative movement 
now almost at the nearest point of success that it has ever 
reached. For fifty years farm organizations have lost out 
in about this same way. If the Cooperative movement 
among the farmers fails now, it means that the Single- 
Tax will be ushered in, which means Government owner- 
ship and control of land with tenancy immediately follow- 
ing its introduction and this finally spells practical ser- 
vitude for the present owners of the land. The Single- 
Tax means nothing more or less than state land owner- 
ship with state tenantry little better than serfdom and it 
means that all of the taxes for the support of the Govern- 
ment shall come directly from the land values." 

In the light of the history of the past two years as authen- 
tically recorded, this warning turns out to have been a proph- 

137 



ecy. Elsewhere we have referred to the extermination of the 
Cooperatives of Eussia. In the late Equity Convention at Eau 
Claire, a man, ascending the platform, among other things de- 
clared, that "there was more democracy under a Nicholas of 
Eussia than there is in America." This man evidently is a 
believer in Bolshevism. He probably was not informed as to 
the cruel and merciless manner in which the Moscow Govern- 
ment had ruthlessly obliterated these peasant cooperative or- 
ganizations and deprived them of control. The report is as 
follows : 

"We can say with satisfaction that after a struggle of 
three years with the old cooperatives, nothing is left of 
them. *** The few remaining members of the old Coop- 
erative Board of Directors *** whose activity was direct- 
ed against the economic policy of the Soviet Government 
*** were sentenced to fifteen years in Concentration 
Camps, having been found guilty of giving support to Kol- 
chak and Denikin." 
Further the report says: 

"The building of the Soviet Cooperative Organization began 
soon after the Bolshevik coup. In the beginning of 1918 
Commissar Shlikhter worked out a project of Consumers 
communes which were to embrace the entire population 
and «erve *** for the distribution of all products among 
the people." 
The report further states: 

"The consumers communes in their scheme would fulfil not 
only distributive functions but also carry on the exchange 
of products. This project, which aimed at the destruction 
of the District Cooperative organizations, met *** with 
unanimous and decisive opposition *** but wherever this 
opposition was sustained, the leaders of it were imprison- 
ed" or we may presume they were treated capitally. 
About the time that the red mob of Eussia was wiping out 
these earnest cooperative peasants in Eussia, Townley testified 
before the Senate Committee, as already quoted in Chapter IV, 

138 



that "the League appears to be working along the same lines 
as they are working in Russia." The farmers of Wisconsin 
should think seriously of this matter. If we could but overcome 
our weakness in worshiping heroes, who, after all, may have 
bronze bodies and clay feet, and come down to earth and sound 
thinking, we would be able to get somewhere. We read too 
much and reflect too little. This is an era of rapid transpor- 
tation and immediate — so to speak — transmission of thought. 
A cargo may be transported across the ocean in a week, and a 
cargo has been transported under the ocean, as if in the belly 
of a whale, in a fortnight. A message may be flashed instantly 
through the air from the center of America to the center of 
Europe. Letters are transmitted to and from the utter ends of 
the earth in a short time. Recently documents, evidently trans- 
lations of Russian propaganda, were received in Wisconsin 
from our national capitol within a few hours. This makes it 
possible for an American and a Russian movement to move 
along in solid phalanx together and the evidence warrants us 
in believing that such a conspiracy has existed and has been 
carried out in unison. There is every warrant to believe that 
it is being done at this very moment. 

We have elsewhere quoted Townley's testimony before the 
Senate Committee. He said : 

"The League appears to be working along the same lines as 
they are working in Russia." 

Knowledge, based upon authentic records convinces us 
now, that he knew what he was doing when he testified under 
oath to that effect. No doubt he realized that the revelation 
would finally be made that he was not only working along the 
lines of Lenine in Russia, but that there would be justification 
for thinking that he was actually co-ordinating his efforts with 

139 



those of Lenine. An official report of Chairman Lezhava on 
the "New Sovietized Central Union of Cooperatives" says: 

"We can say with satisfaction that after a struggle of three 
years with the old Cooperatives, nothing is left of them." 

As reported, the disposition that was made of the leaders of 
these Cooperatives is mentioned elsewhere. Those not sent to 
Concentration Camps were done away with some other way. 
Nothing ever before recorded in history is just like it. Even 
the murder "of the Innocents" pales before it ! Bear in mind, 
that at the time Lenine took over the Russian reins of Govern- 
ment, and the Moscow Soviet began to act, twenty millions of 
enrolled Russian Cooperatives were doing a Cooperative bus- 
iness running into billions of rubles annually. These institu- 
tions have all been "Sovietized," which means, that they have 
been wiped out. They now belong to "Those" who had no part 
in their establishment; the real owners were dispossessed. 
Do we want to get even started on such a road in America? 

While Lenine and Trotzky were wiping out the Russian 
Cooperatives, Townley was sending his emissaries into Wis- 
consin to finish up the Cooperative movement there. It is a 
sad commentary but true, that to a great extent Townley suc- 
ceeded in demoralizing Wisconsin's Cooperative activities by 
getting the whole propaganda organization by the ears. 

Sovietism is not a new thing. This little book often-times 
speaks of Scientific-Socialism. It has been thought wise, as a 
matter of information, to append a brief chapter in the book 
relating to Scientific-Socialism. Anybody reading it, or study- 
ing up more extended treatises on Socialism, will be able to see 
the analogy between the Soviet system and that of Marx- 
ianism. Underneath all of this propaganda we find Scientific- 
Socialism. Roosevelt would say : "Our spear should know no 
brother." The right-thinking, clean-minded farmers of this 



140 



state engaged in holding this political anaconda at bay should 
take Roosevelt's advice. No matter who the man is that ap- 
proves of this thing, "the farmers spear should know no broth- 
er." In taking such a position the farmers of today are doing 
the work that was done by their forefathers at Concord 
and Lexington in 1775. As those patriot farmers suffered and 
died, so others must likewise, because either the temple of free- 
dom we hear so much about is a joke, or else it is one of the 
most serious duties devolving upon mankind. "THEY SHALL 
NOT PASS." 

About the time the Non-Partisan League came into the 
State to break up the Cooperative movement in Wisconsin, 
Townley was testifying in Washington, with a sneer upon his 
lip, that there was $1,800,000.00 in the League Treasury at his 
disposal, and as we recall it, his unitemized personal expense 
account that year amounted to nearly $30,000.00. This same 
(it is true somewhat battered) Sovietized organization is again 
in the State of Wisconsin, and its official organ is calling the 
attention of the Wisconsin farmers to the fact that some of the 
organizations of the state, who have righteously fought to the 
end, are in financial straits. Perhaps they would not be in fi- 
nancial straits if their pockets were lined with the loot taken 
from the farmers of North Dakota in the Stores swindle, or 
perhaps they would not be in financial straits if they had their 
paws in the pockets of the dead and dispossessed (Sovietized) 
Russian Co-operatives. 

Perhaps it takes a human commotion of this kind to bring 
us to our senses. Just as the human body renews its strength 
by replenishing its blood, so the body politic does likewise. 
We are just entering upon another campaign when the blood 
of our state and national life will be renewed. We must nour- 
ish that life with renewed healthy corpuscles of red-blooded 

141 



Americanism. We must not be guilty of punishing for past 
offences; that would be ignoble, — yea, unjust. We must pro- 
ceed "with malice toward none and charity for all." Those 
seeking the suffrage of the farmer must be known as the tree 
of the Bible was known, "by its fruit." It is not enough for 
candidates to say "we do not want the support of the League," 
but they should place themselves squarely on the high ground 
"we will not accept the support of the League." 

It were well at this time for the farmer to quit foolish 
thinking and acting along the lines of hero worship. Such wor- 
ship never accumulated or paid a single cent's dividend to the 
farmer. Let merit count, as only merit can count in the end. 
Common sense, directing co-ordinated effort will do the work 
that hero worship will continue to tear down. The farmer must 
get this view of affairs and act in the light of it. The govern- 
ment we elect is apt to reflect as much of intelligence or ignor- 
ance, or of honesty or dishonesty, as one of these elements pre- 
dominates over the other in the electorate. We must recog- 
nize this fact. We must insist on courageous action. We must 
not beget cowards. It is time — yes, here and now — for the 
Wisconsin farmer to do some thinking for himself. He is ap- 
proaching thin ice as an owner of landed property. 



142 



CHAPTER XII 

A SUMMARY 

LET US NOW SUMMAR- 
IZE HOW MARXIAN 
SOCIALISM, THE NON- 
PARTISAN LEAGUE 
AND LENINE'S SOV- 
IETISM ARE COVERT- 
LY ONE AND THE 
SAME THING AND, IP 
EMPLOYED, WILL 
BRING ONE AND THE 
SAME EFFECT. 

1 — Scientific-Socialism, asserts its baneful proselyting in- 
fluence and work to subvert and destroy our American social 
and industrial ideals, symbolized in our religious and political 
institutions — all of which underlie our civilization — AND SO 
DOES RUSSIAN SOVIETISM AND THE NON-PARTISAN 
LEAGUE. 

2 — Scentific-Socialism weakens by debauching the mind of 
the individual, especially by insidiously assaulting the minds of 
the young by seeking control of public systems of education 
and morals. Forty years ago European Socialists — now Inter- 
nationalists — inaugurated a movement to secure control of the 
systems of national education in all European countries. Their 
meanest attack was against the Christian and Parochial in- 
struction as practiced by the Lutherans and Catholics and their 
aim was to supplant such instruction with Marxian Atheism, 

143 



and THAT IS WHAT LENINE IS DOING IN RUSSIA AND 
THAT IS WHAT THE NON-PARTISAN LEAGUE DID IN 
NORTH DAKOTA. 

3 — Scientific-Socialism teaches the monstrous doctrine 
that all things worth while are natural and material ; that life 
is best enjoyed when the natural and baser passions and lower 
instincts of the individual are freely and fully indulged; that 
the most successful state can be reared and sustained upon a 
system that begets "fine animals" rather than "fine and splendid 
characters". Barbarously, they go back to the theory of breed- 
ing for perfect slaves rather than for perfect men. THIS IS 
A CARDINAL PRINCIPLE OF LENINE'S MOSCOW 
GOVERNMENT AND THE PROGRAM OP THE NON-PAR- 
TISAN LEAGUE INEVITABLY LEADS TO THE SAME 
END. 

4 — Scientific-Socialism seeks to control, absolutely — and 
would exert that control, — over the credit and exchange systems 
of the United States and the world, necessary to have and to 
hold mankind in economic bondage. "Who controls the cred- 
it of a nation is the nation" has been aptly said. By their sys- 
tem of fixing all value in exchange in units or integers of "so- 
cial labor power," and by their autocratic control of the money 
or banking systems, they undertake to completely control the 
life of a people — Lenine does this thing now in Russia and the 
PROGRAM OF THE NON-PARTISAN LEAGUE AUDA- 
CIOUSLY ATTEMPTS TO DO THE SAME THING HERE. 

5 — Scientific-Socialism is autocracy in its most malignant 
form, and every proposal of Scientific-Socialism to fasten auto- 
cracy on the people of Europe, even the Sovietism of Russia, 
has been ADOPTED IN SOME DEGREE IN THE PRO- 
GRAM OP THE NON-PARTISAN LEAGUE. 



144 



6 — Scientific- Socialism means that there shall be no private 
thrift, no legitimate profit from productive investment; that 
land values shall be taxed until communism in land results, and 
that all inheritances shall be abolished. The Henry George 
Single-Tax heresy, which is land Socialism declares for such a 
policy— and THIS IS A POLICY OF LENINE OF RUSSIA 
AND IT IS THE AIM OF THE NON-PARTISAN LEAGUE 
TO DO THE SAME THING HERE. 

7 — Scientific-Socialism would nullify the teachings of the 
Christian religion by substituting a purely materialistic sys- 
tem. They plan scientifically (sic) to annihilate the home and 
to sunder the sweet and tender relationship that binds the world 
together in all of its most sacred sentiments, — its joys and sor- 
rows, its hopes and fears, its cradles and its graves. They would 
abolish the baptismal font; the altars are laid low; even the 
holy rites of sepulture are invaded. They utterly disdain all 
those sacred teachings that make peoples good and great. There 
hung in the great gallery of the World's Fair, commemorative of 
the Columbian discovery, a picture before which strong men 
wept. It typified the spirit which makes all the world akin. 
It was entitled "Breaking Home Ties". This solemnly beautiful 
and touching sentiment, which, after all, is the girder, which 
sustains the weight of the world, would be transformed into a 
system of licentiousness, sensuality, selfishness and the primacy 
of physical force. The spiritual would be entirely subverted. 
Imagine a world so dominated, and YOU HAVE THE FRUITS 
OF LENINE AND THE FRUITS THAT THE NON-PAR- 
TISAN LEAGUE WOULD GIVE AMERICA. 

8 — Scientific Socialism is the antithesis of — or the very 
opposite of — Cooperation. It levels human talents to an aver- 
age basis of production and rewards mediocrity as highly as 

145 



genius. There can be no coordination because all productive ac- 
tivities and instrumentalities are owned and managed by the 
State. All commerce and all labor would be exchanged in or 
remunerated with "exchangeable units of social labor power." 
All, equally own everything,, and nobody owns anything. This 
WAS LENINE'S POLICY TOWARDS THE RUSSIAN CO- 
OPERATIVES, AND TOWNLEY ON OATH SAID "THE 
NON-PARTISAN LEAGUE APPEARS TO BE WORKING 
ALONG THE SAME LINES AS LENINE IN RUSSIA." 

9 — Scientific-Socialism has no country, recognizes no Lin- 
coln homestead, and there is no place for glittering church spire 
or chiming bell. It scoffs out the idea of a good and Almighty 
Father and disclaims the gentle Saviour. It casts out the fam- 
ily and disdains the flag. Its system has the effect of discourag- 
ing virtue and nurturing vice and as a result it overturns every 
moral standard humanity holds dear and in its place, it would 
bring a veritable perdition upon earth. We believe the farmers 
of the Northwest did not know what they were doing when 
they let this scorpion — the Non-Partisan League cuddle down 
on their thresholds. The Non-Partisan League is now engaged 
in making the State of Wisconsin the spawning place to gener- 
ate another brood of vipers and to develop their pernicious pro- 
gram. IT CANNOT BE DONE IN WISCONSIN. 



146 



GHAPTEE XIII 

THE PROVINCE OF GOVERNMENT 
CO-OPERATION AND CO- 
ORDI NATION. THE 
EQUITY BUSINESS 
PLAN PROPOSED BY 
THE EXECUTIVE 
BOARD, 1920. 

There are two words in the English vocabulary which are 
especially full of meaning at this time to the farmers — "Cooper- 
ation and Co-ordination." Anybody will perceive the difference 
in a little illustration. To cooperate to manufacture or 
change milk into butter or cheese is one thing, but may be ac- 
companied with partial failure to bring the greatest profit to the 
producer, unless co-ordinated with storage, distribution, credit 
and transport. Farmers may be able to manage and finance 
successfully one part of the machinery, while they may not be 
able to successfully manage and finance all of the co-ordinated 
factors. 

There are also two other words fraught with a special 
meaning in achieving this co-ordinated machine; they are "Le- 
gality" and "Finance." These two latter fit into the two 
former in practical construction like coordinate parts of a 
machine. We may call "Finance" a cylinder of the machine 
and "Legality" the moving power, or the lever and their inter- 
relation, the connecting rods, well oiled and arranged for per- 
fect action. 

It seems proper, in view of the long and faithful experience 
of the American Society of Equity in the field of cooperative ef- 



147 



I 

fort to speak plainly about some phases of the work. In the 
early months of the year 1920 the Executive Board devoted their 
entire attention to the development of a co-ordinated plan of 
Cooperation. Team work to an unusual degree was done, not 
only by the Board but many prominent members of the Society 
took part in the deliberations. Every officer — elective or ap- 
pointive — of the Society had a hand in the study and whatever 
development was made. Finally, a chart was acceptable, and a 
lecture program on the value of the plan was devised and so far 
as possible, carried out. A sketch of the plan is appended 
hereto and is intended merely as a suggestion in a general way, 
as to what the plan was intended to do. 

First. To Cooperate successfully we must be certain — 
morally at least — that we do not involve ourselves in the mesh 
of the law. There is the Common Law actively operative in many 
states; then there are the Federal Anti-Trust Laws. It is not 
that we need to fear so much prosecutions, as we may fear the 
necessity of having to, at great expense, undo a great deal of 
work builded upon false assumptions . Corporations, in the be- 
ginning, lost millions and millions of dollars as a result of "pet 
theories," based upon the short sightedness of over-zealous or 
stubborn financial leaders. They thought they could do things 
which they found they could not do. The farmers may avoid 
this by taking experience into their confidence.. 

Second. The assumption by farmers that because they are 
incorporated under the Cooperative laws of a State, that their 
business is exempt from the Federal Laws, is apt to be found 
quite erroneous. Corporate experience will teach them that 
fact. All food products are apt to be within the definition "In- 
terstate Commerce", in whole or in part, and as such come 
strictly within the purview of the Federal Statutes. 

148 



Third. We have worked strenuously as Cooperators to se- 
cure the exemption of cooperative business from the provisions 
of the Anti-Trust laws. We no doubt will achieve this purpose 
in time. Now, suppose we do achieve our purpose, what then? 
In achieving this exemption it does not carry with it the right 
to violate a Statute. The Anti-Trust Statutes will remain just 
as formerly, the law of the country. The law considers effects 
only. The exemption gives latitude for farmers to form Cooper- 
ative associations, without fear of legal hampering or prosecu- 
tion, but the exemption goes only that far, and when Cooperat- 
ors actually violate the law, by, in effect forming a monopoly 
that becomes "in restraint of trade/' then the Federal Anti- 
Trust Statutes will be applicable exactly as they were before 
the exemption was made. The exemption will not prove a li- 
cense to violate the law. Do not lose sight of this fact. 

Fourth. The Equity plan took "Legality" into considera- 
tion. It will be called to mind the writer was severely criticized 
because it was said he was "teaching farmers how to build a 
Trust." Sure — he was teaching them how to build a legal, 
a beneficent and an enduring trust," one that would stand the 
test of the Supreme Court of the United States — for there is 
where the "title to righteousness in all the trusts rests." Su- 
preme Court decisions were carefully studied. The experience 
of nearly forty years in corporate work was drawn on. The 
Steel Corporation plan was carefully studied. The personal ex- 
perience in the Minnesota rate cases as witness, and as traffic 
counsel in the California Fruit Exchange cases, proved of ad- 
vantage. During the time that the writer was connected with 
corporations, for more than 35 years, the early trials and appli- 
cation of the Interstate and the Sherman Anti-Trust Statutes 
were made and fixed. The growth of these statues into effective 

149 



rules of law was within the purview of his experience. Out of 
the Board's deliberations, the plan evolved was intended to cov- 
er Cooperative business, and coordinate that business with 
other factors, without at the same time restraining trade or 
creating an obnoxious public monopoly in any commodity. 
Again, the farmer must keep in mind that in the last analysis, 
the Supreme Court deals with the effect produced, rather than 
with the policies that may produce such effects. Again : suc- 
cessful prosecution pre-supposes achieved monopoly in re- 
straint of trade to be a fact. 

Fifth. The Equity plan recognized Wisconsin as an in- 
teger for Cooperative Organization. The state has its own ad- 
vantages and disadvantages, its own topographical and climatic 
characteristics and it produces, peculiar to these conditions, 
sufficient of certain food products or commodities to at all 
times influence to a great extent, the markets. Organized by it- 
self, it would not be apt to be held a monopoly in restraint of 
trade, if due caution be taken in the organization. Later, if 
there were aspects of cooperative effort peculiar to other areas, 
co-ordinated effort with those areas could be brought about, 
without danger of being in conflict with the Common Law 
or being brought within the purview of Federal Anti-Trust 
Statutes. — —K;i-D^ 

Sixth. The Equity plan recognized that Cooperation must 
be based upon justice — first to the producer — as a proper and 
natural incentive for maximum production. In order to ac- 
cord justice to the consumer and convince the consumer to that 
effect, it is necessary for the producer to prove his good 
faith to the consumer. Then — in that case — the Producer must 
be able to prove Cost of Production to a fair degree of certainty. 
It must be admitted that Cost of Production is not a rule by 

150 



which prices will always be permitted to be fixed, but, it is 
necessary to know "costs' ' for the farmers' own guidance, and 
for the moral effects it has upon Consumers. The Socialists 
do not want "Cost of Production." The reason is, they "appro- 
priate the full value of the things they produce." These "costs" 
must be determined and made known to the consumers and the 
trade by the Cooperators themselves. "Keep hold of your own 
business" is good advice. 

Seventh. The Equity plan recognized that Cooperation 
must be founded upon units — such units to be comprehended 
in districts or areas and by commodities, why? In the case 
of raw milk, usually it is best to manufacture it into other 
commodities within a district or area close by where it is pro- 
duced. Each Cooperatve manufacturing plant — (no matter 
what is made from the milk) — is a unit. When the manufac- 
turing process is completed cooperatively, then the elements of 
co-ordinating with storage, distributing and transport come in. 

Eighth. The Equity plan recognized the necessity of "Fi- 
nance in Co-Ordination." To provide Capital for storage and 
distribution for the total products of Wisconsin is a tremen- 
dous task. It seemed to the Equity Board impossible for the 
farmer to provide it in that time of pending war, and times 
since have proved even more unpropitious. In certain in- 
stances, it might prove best for the Cooperatives, to avail them- 
selves of the storage already constructed in the centers of dense 
population, and the credit that usually goes with such storage, 
the storage to be paid for at agreed rates, and the sales m& 
distribution of products to be made under the supervision of 
the Cooperators themselves. In that way private concerns own- 
ing storage plants at terminal centers would not be put out of 
business, and if such a fair arrangement would not work, then 

151 



the Cooperators might arrange a purchase of these private 
storage plants. Unnecessary duplication of storage properties 
under the present financial strain would be wicked. Coopera- 
tion is just and fair and when it becomes otherwise, it fails. 
The Board therefore believed it wise to take advantage of and 
utilize all plants geographically properly located, and which 
might be operated economically and profitably to the general 
advantage. 

The Equity plan took into consideration the primary 
importance of a Co-ordinated Credit System. They believed that 
with the Federal Keserve Banks, and the other co-ordinat- 
ed parts of our state and national banking systems, that 
if the needs of the cooperators could be intelligently placed be- 
fore the managers, that proper and adequate financial facilities 
would be provided, such as credit for production and manu- 
facturing and storage facilities. Much of the credit for pro- 
ductive processes might be furnished in the local communities 
whereas in the case of storage and distribution, it might be 
necessary to draw credit from outside sources, hence the Cen- 
tral Board provided for, as a Credit Department, would have 
to do with not only the dissemination of correct information 
upon which to base credit, but would also make recommenda- 
tions as to what credit should be extended, when it became ev- 
ident that their judgment or recommendation would be of 
value. The credit of the Farmer is now strained to the break- 
ing point. For five years at least or until the world begins to 
approach a normal gait in rural finance the Government of the 
United States in connection with the present banking system 
is the only agency powerful enough to do the work. 

Ninth. The Equity plan recognized the Supreme neces- 
sity of the farmer keeping his own business within his own 



152 



grasp. He cannot delegate his authority or work to others 
and exempt himself from the law unless he actually parts with 
his property. So far as he desires to reap profits from his 
products, he must take the moral and legal responsibilities of 
his action. It will be difficult to get around this fact in the 
long run. It may be winked at as a political expediency in the 
beginning, but in the end it will not pay. The farmer should 
bear in mind that there is no great difference between the 
Corporate and Cooperative methods, except and unless the Co- 
operative method brings about a real spirit of Cooperation 
among producers. To bring success we must organize : 

(a) To Cooperate to manufacture raw products, where 

feasible and profitable, into other forms of con- 
sumptive products. 

(b) To Co-ordinate such manufacturing with storage 

and distribution, or Co-ordinate raw products with 
marketing through plants already provided where 
feasible, but under the supervision of the Cooper- 
ators. 

(c) Co-ordinate with Sales Agencies already established 

or, where necessary, organize Sales Agencies for 
the sale of products under the supervision of the 
Cooperators. The Cooperators, not the Sales Agen- 
cy to five the selling price. 

Tenth. Finally, the Equity plan makes recognition of the 
tendency of the times, which never can be safely ignored, that 
the day of the voluntary Dues Paying Organization is passing. 
"They have proven ropes of sand." They must, therefore, be 
Reinforced. The Equity plan — as may be perceived by exami- 
nation of the chart — gives scope to grow the teaching or educa- 
tional propaganda out of the Federated Cooperative Units as 

153 



leagued together. In this way education grows out of the 
business itself and as it should rather than growing the bus- 
iness out of the propaganda, or, in brief, w r e grow the tree from 
the roots rather than from the branches. Beading of the Co- 
operative laws shows that this principle is contemplated as 
necessary to their successful operation. Each Cooperative 
Unit, comprehending any Cooperative business would pay a 
small percentage of its net earnings to the educational society, 
which at all times would be completely under the control of 
the Cooperators. These arrangements could be made by con- 
tract between the Cooperative Units and the Educational De- 
partment to cover annual periods or periods of longer lengths 
if thought desirable. Propaganda in a general sense and stand- 
ing alone is bound to extend to general economic issues which 
are, at the same time, political issues. If, however, only those 
policies that relate strictly to cooperation are generated out 
of the Cooperative Units themselves, then the propaganda can 
be controlled by the Cooperative Units who furnish the money 
and in that way general political issues — even Socialism — can 
not be intruded into the movement. So long as Cooperation 
grows out of a general propaganda, as loosely propounded and 
construed by the present Equity constitution, it is impossible 
to keep politics out of the organization, because the constitu- 
tion itself proposes as its primary purpose almost the entire 
field of underlying subjects upon which politics is founded. We 
do not criticize the past. The history of the Wisconsin State 
Union of the American Society of Equity is a worthy and 
noble political history. The political activities of Equity have 
borne fruit, but is the Society now hooked up to pick the fruit 
they have grown? 

With the exemption of Cooperatives from the Anti-Trust 
Statutes it becomes necessary to re-organize cooperative work, 

154 



so that "the one thing necessary," Legal and Successful Cooper- 
ation may be attained. To achieve this great primary purpose, 
if the Cooperative Units themselves are leagued together, then 
through that organized power there will be but one policy and 
that is, to make Cooperation and Co-ordination practically ef- 
fective. It will require some clear thinking on the part of 
farmers to see that we are near the parting of the ways and 
that we may be JUST NOW FOOLING AWAY PRECIOUS 
TIME AND MONEY. 

In the early days and since the railroads conceived the 
idea, and it was not a bad one, even from the point of public 
policy, that they would pool their traffic and thus increase their 
profits and at the same time reduce the charges for the public. 
It is likely that if the railroads had not insisted upon pooling 
traffic, the Interstate Statute would not have been passed in 
1887. Pooling of traffic, and what was thought to be the con- 
sequent result, was the chief cause that brought about the op- 
position of the public, the grangers particularly, that forced the 
passage of the law. The railroads have fought for the "pooling 
principle" for thirty years and have never been able to secure its 
recognition in the law. 

Pooling is recognized in law as a basic principle of monop- 
oly and in most civilized nations is contrary to the Common 
Law and in many nations is prohibited by Statute Law. His 
Majesty the King's Statute, authorizing the Cooperative Grain 
Growers of Canada to organize, specifically forbids pooling. 
We quote therefrom. See: 2 GEORGE 5, Chapter 27, Cana- 
dian Grain Act, Page 65. 

"Section 221. No person or corporation, or their agent, 
operating a country elevator, shall enter into any contract, 
agreement, understanding or combination with any such 
person, corporation, or their agent, for the pooling or div- 
ision of earnings or receipts of such country elevators, or 

165 



divide with any other such person or corporation, or their 
agent, the gross or net earnings or receipts of such country 
elevators or any portion thereof." 

"2. The contravention of any provision of this section shall 
be an offense against this Part punishable, on summary 
conviction, by a fine not exceeding One Thousand Dollars 

(|1,000.00) and not less than Five Hundred Dollars 

(1500.00) for each offense. 

Let us see how the California Fruit Growers' Exchange 

wisely avoids this pooling proposal. We quote one paragraph 

only which seems to comprehend this point completely : 

"The Party of the First Part, (the Sales Agency) agrees to 
use its best efforts to sell and dispose of the fruit control- 
led by the said Parties of the Second Part (the Growers), 
but it is expressly understood that in so doing it acts only 
as the agents of the said Parties of the Second Part and 
assumes no responsibility or financial liability therefor 
further than it agrees to turn over to the several parties 
of the Second Part the cash proceeds of all sales of their 
fruit as soon as received, retaining the brokerage for ex- 
penses, as above provided. 

Adam Smith, the father of Political Economy has aptly 
said "It is not the name of the thing, but the thing itself with 
which we must deal." We commend this bit of wisdom for the 
consideration of farmers in founding their cooperative activi- 
ties. Do not place too much confidence in paid-for legal advice. 
Do what manfacturers and capitalists do; know what you want 
yourselves and then employ a good lawyer to help you get it. 
Do not ask the lawyer to fix your case; fix it yourself. An 
honest lawyer will candidly tell you, that, if you do not know 
your own case, you are in a bad way — if you need a lawyer. 
THE PROVINCE OF GOVERNMENT ~ 

There is one phase of co-ordinated work we would like to 
see our Government engage in and that is a survey of the pro- 
ductive areas with the idea of ascertaining to what extent a 



156 



perfect co-ordination has been brought about so far, by natural 
and individual forces, and to what extent a more perfect co- 
ordination could be brought about, by the assistance and advice 
of government. Are the fields, the elevators and the mills prop- 
erly and adequately co-ordinated and if so, are they perfectly 
co-ordinated with fuel or other power and with water and rail 
transport? We know that water and rail transport are not co- 
ordinated and we realize at this moment, as we look out of the 
window and see the car ferries passing to and fro over Lake 
Michigan, that for 25 years millions of dollars have been wast- 
ed because of a badly co-ordinated system. The farmers of the 
state of Wisconsin, and particularly the city of Milwaukee, 
its metropolis, and as a result, all the people of the state have 
been mulcted out of millions annually because of this lack of 
proper co-ordination. "'Tis true, 'tis pity." 

Assuming that the farmer has his cooperative plans well 
grounded and that cooperative activities are co-ordinated for 
economic purposes, we must not overlook the primacy of the 
farmer and his relation to earth and to all the people. The 
farmer must recognize the fact that his business has no analogy 
to any other business. The farm calling is primary, we may 
say a sacred calling. The farmer as a producer is a butler in 
the pantry of the good, Almighty Father; a steward in the 
House of Providence. Any person or group of producers who 
undertake to evade this profound obligation will run amuck. 
The Creator has wisely dispensed the blessings of Providence. 
It is usually fatal to tamper with nature's dispensations. He 
who undertakes it is on dangerous ground. "He who dances, 
shall pay the fiddler." We cannot evade the primary principle, 
that every person has a living coming from the soil, if he works 
diligently for it. This is true, whether employed on the land 
itself or whether employed in some other useful and necessary 

157 



occupation. For this reason the farmer cannot under any con- 
ditions enter into any plan that, in effect, lessens the produc- 
tion from the land. It becomes his obligation as a steward of 
the providence of earth to see to it, that, as the seasons rotate, 
their efforts have worked with nature to bring about the great- 
est possible production for all mankind. The private ownership 
of the soil becomes sacred, and is legalized, and is largely found- 
ed upon the economy that from private incentive the greatest 
production may be derived. 

It is wise that communities should cooperate to plant those 
crops as are native and indigenous to the soil or climate. They 
should plant such acreage as will, by their own experience or 
that of the history of the community tells them, are the most 
apt to succeed in an average period of time. A community 
may embrace a state or district. Usually, however, nature fixes 
these limitations. 

A bumper crop of corn in Illinois, Iowa, Nebraska, and 
Kansas means cheap corn as well as cheap beef and pork, so 
a maximum wheat crop in Oklahoma, Kansas and the Dakotas 
means cheap wheat and cheap bread in America. The greatest 
yield of potatoes from the sandy soil of New England, the 
broad plateaus of Colorado, the Princeton District of Minne- 
sota and the potato areas of Wisconsin, means a greatly cheap- 
ened supply of healthy food for all the people. So in Minne- 
sota and Wisconsin, a large hay and heavy rich forage crop 
means a maximum production of dairy products. The reasons 
why nature demands a maximum production from all tillers 
of the soil, is the fact that almost annually, somewhere, some 
great patches or areas of territory on the globe, fail utterly of 
production, or partially fail. Sections of country having been 
blessed with a maximum production must therefore supply 

158 



those less favored. This is an inexorable rule with relation to 
production. 

The farmer might take a lesson from nature with regard to 
co-ordinating his work in the co-operative field. Nature 
provides for herself first-rate. She stores the providence of the 
Creator in the mine, in the prairie, in the forest, on the hill- 
side or deep in the mountain gorge. The ant, the bee and the 
busy squirrel, all set the example of provident cooperation with 
nature's laws. The ores dug from out the Superior range, the 
timber cut from the Pacific mountain slope, the cement dug 
from the soil of Iowa are brought together to form co-ordinated 
parts of our system of transport. The gold from Alaska or from 
Colorado, or the silver from the American and the Mexican 
mines are brought together, too, as a coordinated factor in 
exchange. This system, honestly developed, beats Socialism 
all hollow. So we must look upon the tobacco, the bread, flour, 
butter and the cheese, the pork and the beef, the rosy-cheeked 
peach and the blushing apple as stored away in the soil, to be 
dug out exactly as the metals, and when there is an excess pro- 
duction, to be stored away to tide over periods of a lessened 
production. We have the example of Joseph in Egypt, and 
his farmers planting, so that the seven fat years would provide 
for the deficiency of the seven lean years. The experience of 
the world and nature has changed none over that span of some 
thousands of years. Skill, foresight and judgment in these 
matters must be exercised largely by the farmers themselves 
and not by others ; unless they are able to plan these things for 
themselves, they are not apt to finally succeed with any cooper- 
ative policy. 

Embraced within this subject of Cooperation and Co-ordin- 
ation the farmer receives the benefit of organization. Because 
organization does not daily bring cash into his hand, the farm- 

159 



er is apt to feel that he receives no benefit or profit. How far 
from the mark we are when we reason thus. The farmer can 
have what he needs if he knows how to get it. When he does 
not know what he wants, when he is not organized to ask for it, 
and then, when he does not recognize that he has what he needs 
when he gets it, how can he expect to win out in the business 
race? If he does not know the relationship of the economy of 
things to politics, if he does not know that politics and econ- 
omy are practically one and the same thing, and his attention 
is distracted from the main issue by the zealous cry of partisan- 
ship, then where is there hope for him? After all, nature is 
a court of last resort and that court, even more inexorably^ 
than our courts of jurisprudence, will not recognize ignorance 
of the law as an excuse for disregarding it. 

Right cooperation among ourselves, intelligent co-ordin- 
ation with all other branches of commerce and industry, will 
perform the service and bring the ultimate favorable results 
that nothing else will achieve. These great engines — so to 
speak — of mutuality can be employed successfully, only when 
they are directed by the natural faculties and talents of man, 
harnessed in and guided by the experience of organization. 
NO GREATER TRUTH HAS BEEN ENUNCIATED THAN 
THAT, "IN UNION THERE IS STRENGTH," AND THAT 
OTHER TWIN TRUTH, "IN THE MULTIPLICITY OF 
COUNSEL THERE IS WISDOM." 

Here is the question : Would it not have been better for 
farmers to have persisted in perfecting the constructive co- 
operative "Equity Business Plan," rather than follow off, after 
the Socialist will-o-the-wisp of the Non-Partisan League pro- 
gram? 



160 



CHAPTER XIV 
EQUITY BUSINESS PLAN 

There are two drawings appended hereto — one represent- 
ing a tree and the other a consolidated chart illustrative or 
suggestive of the Equity Co-operative Business Plan. Against 
this Co-operative plan the League opposes its program of State 
Socialism. The plan was made exclusively Equity because at 
the time it was proposed its promoters were exclusively Equity 
members, or, as the slogan was, they were "Equity first, last 
and all the time." It is natural for people to be enthusiastical- 
ly loyal to their own organizations. Our modern methods of 
thought and action, however, somewhat rebel against business 
straight- jackets of any sort. This is right. Any co-operative 
plan that does not grow from the farmers themselves and which 
is not financed and managed through the initiative of the farm- 
ers themselves, will ultimately fail for the farmers. There is 
no reason why modern business practice should not be invoked 
to make the Equity Business Plan applicable to all Co-opera- 
tive Industries through co-ordinated or federated with the Edu- 
cational department only. The main object is to secure the 
co-operation and co-ordination of all farmers thinking along 
sanely progressive lines of Co-operative business. There is grave 
danger of cooperation miscarrying unless perfectly co-ordinat- 
ed along sound and unsocialistic lines. Eventually, if this 
plan is followed right Co-operative Education will prevail 
in the State. 

EXPLANATION OF BUSINESS CHAKTS 

The outer circle of red represents the Wisconsin State Un- 
ion of the American Society of Equity. It is the Educational 

161 



Department of the State Union. By tracing the arrows it is 
seen that it draws its sustenance, authority, influence and 
power from the inside of the circle, just as the leaves, the buds, 
the blossoms and fruit are generated from the sap that is 
drawn from the soil. Whatever the co-operators who own the 
business decide to have done or vote to have done, will finally 
be the authoritative action. All business activities should be 
co-ordinated with but managed separately from the Educa- 
tional Propaganda. In other words, if co-operation is the main 
or only object of Equity, then the Educational or Political 
Propaganda which grows out of it will be confined to Co-opera- 
tion and its Co-ordination with business interests only. 

Within the large red circle are other circles as follows : 

(a) Organized County Unions arje denoted by white 
circles. 

(b) Unorganized counties are represented by a single 
line of black dashes. 

(c) Small circles in black within County circles denote 
local unions. 

(d) Small red circles represent co-operative business 
units as, for instance, livestock shipping associa- 
tions, potato warehouses, co-operative purchasing 
exchanges, factories or branches of a dairy federa- 
tion of any kind, or a combination of two or more 
or of all of them. 

(e) The short black arrows connect the locals with the 
County unions and the long black arrows connect 
the Locals through the County Unions to the State 
Union. 

(f) The large red circles embrace the incorporated com- 

modity business units. 

(g) The red arrows connect these various commodity 
activities with the business activities in the coun- 
ties which are also connected with the local unions 
and they, in turn, are connected with the Educa- 

162 



tional Department. Only such actual business con- 
nections need be made by the members as are deem- 
ed advisable or profitable. 

The County Union (1) is composed of eight Local Un- 
ions which have two co-operative business units growing out 
of them. These business units are connected with the Wiscon- 
sin Equity Marketing Association and the Wisconsin Equity 
Wool Association. One local is connected with the Education- 
al Department but is not incorporated with any business activ- 
ity. A study of this circle shows that this County would need 
much additional work to bring it into its full co-operative 
power. One local is connected up with the Educational De- 
partment and has its own business unit which indicates that 
perhaps more co-ordination is needed here to bring about the 
best results. It is evident that this County requires more work 
in the interests of dairy and livestock co-operation. 

a. Circle (2) is an example of another county comprised 
of 10 local unions. Two red circles indicate co-operative busi- 
ness units not yet incorporated with any commodity business 
unit. 

b. There is one red circle indicating that three locals are 
incorporated with the Wisconsin Equity Marketing Associa- 
tion and with the Wisconsin Equity Supply Association and 
with the Wisconsin Livestock Association. 

c. One red circle indicates that one local is incorporated 
with the Wisconsin Equity Dairy Association. Both County 
charts Nos. 1 and 2 indicate the necessity for work to be done 
in the interest of the co-operative dairy industry. 

Circle No. 3 represents an unorganized County and shows 
that there is one local union connected with the Educational 
Department; that two local unions are incorporated with a 
business activity which, in turn, is connected up with the Cen- 

163 



tral Tobacco Department. This example shows the necessity 
of completing the County organization. This County should 
have five locals and thus become an organized County. To 
bring about full co-operative success, all locals should be con- 
nected with necessary business activities within the county, 
which, in turn, should be incorporated and connected with the 
helpful business or sales agency for that commodity or com- 
modities. 

Then there are six Central business units or Sales Agencies 
representing commodities produced in the state and out of 
which successful co-operative business units may be developed. 
They are : 

A. Wisconsin Equity Farmers Supply Association. 

B. Wisconsin Equity Produce Marketing Association. 

C. Wisconsin Equity Wool Marketing Association. 

D. Wisconsin Equity Livestock Marketing Association. 

E. Wisconsin Equity Dairy Association. 

F. Wisconsin Equity Tobacco Association. 

The solid red circle, called the Wisconsin Equity Farmers 
Exchange, embraces the four departments considered general- 
ly necessary by corporations for sucessful operation— traffic 
— auditing — legal — uniformity in business system. Then 
within the large thin black circle or line and connecting all of 
the red circles is composed the Advisory, Finance or Credit 
Board. 

Epitomized, the whole thing is centered in the Co-operative 
business itself. We ask you to look at the Co-operative oak in 
the chart attached. There are 50,000 co-operators ; they do a 
gross business of Ten Million Dollars per annum, a net result 
of 12% or $1,200,000, iy 2 % to 5% of which would accrue to 
the general fund to teach co-operation. In the brief space of 
from three to five years there would have grown a permanent 

164 



fund sufficient to maintain all general educational work. The 
plan contemplates that most of the education shall be impart- 
ed in the local communities by local organizers. Thus a — as 
Roosevelt would say — good trust will be grown, one that would 
prevent harmful monopolies and dispense the blessings of pro- 
vidence to all the children of men in natural order, invoking the 
co-ordination of every business that grows out of private ini- 
tiative and thrift which are the foundation stones of our Amer- 
ican enterprise. 

Within the scope of this plan there is all the opportunity 
necessary to connect with privately owned or operated storage 
plants under a contractural relation for storing products or 
distributing products or consolidating with other co-operative 
purchasing departments. The dairy industry of Wisconsin 
must naturally be departmentalized if it is to succeed under any 
co-operative plan. The production of the raw milk, the manu- 
facturing of the raw milk into the various food products such 
as cheese, butter, condensed milk, the storage of these commo- 
dities and the distribution of both the raw milk in large cities 
and the distribution of these other food products requires the 
full ingenuity and skill not only of the co-operative farmers 
but of much of the privately controlled capital and plants. Co- 
ordination is imperative in this industry. 

It may be argued that this plan appears selfish and isolated 
because of the word "Equity." It may be said there are three 
educational farm organizations in the state teaching co-opera- 
tion and that this plan takes notice only of Equity and thus 
defeats the fundamental purpose of Co-operation and Co- 
ordination. The plan as outlined is suggestive only. Mod- 
ern co-ordination can bring about a proper working arrange- 
ment between all societies that have right co-operation at 
heart. Co-operation usually fails because Co-ordination does 



165 



not enter into the equation. The object of the charts in the be- 
ginning and the object of appending them hereto is to present 
a Co-ordinated Co-operative idea and to show the intent of the 
co-operative law which provides that the sustenance for the 
Educational Department shall be drawn from the co-operative 
units. This co-ordination might consist of : 

FIRST: The time is at hand when all farm educational 
organizations, recognizing the fundamental co-operative idea, 
must either amalgamate or die. The Equity Society has for 
some years occupied the premier position in the state. This 
position should be duly recognized. 

SECOND : All farmers having faith in Co-operation should 
help to finance co-operative business activities and support Cen- 
tral Sales Agencies, such as the Wisconsin Livestock Market- 
ing Association or the Wisconsin Cheese Federation, such as- 
sociations to contract with the Educational Department to 
set aside and pay over quarterly, at least, such sum as may be 
necessary to support, pro rata, their portion of the Educational 
Co-operative movement. Where this is not done, the co-opera- 
tive spirit is not their first consideration and in that case, the 
propaganda societies must develop their own departments. 
This ought not to be necessary. We suggest a minimum of 
1%% and a maximum of 5% of the net proceeds of such de- 
partments for education. All co-operative laws recognize the 
need of providing for this educational work. 

THIRD: The Wisconsin Equity Dairy Association may 
embrace the Wisconsin Cheese Federation, a Wisconsin Butter 
Federation or any other dairy Federation such as the Raw Milk 
Producers Federation and they, too, should contract to pay pro 
rata towards Co-operative Education. Co-ordination is more 
necessary than pooling. 

166 



FOURTH: Under this plan co-ordinated effort with pri- 
vate sales agencies may be profitably employed and be of mu- 
tual advantage; on the other hand, where this cannot be ar- 
ranged, a General Sales Agency might grow out of any one in- 
dustry, the main object being to teach legitimate co-operation. 
It must be borne in mind that marketing, as a middle agency, 
will require finance in any event. The idea that prevails with 
some farmers, that production and distribution may be carried 
on for the cost of production, or little more, is an erroneous 
judgment. It cannot be done. Up to this time distrust and 
confusion have accompanied co-operation, so that co-ordination 
has been made wellnigh impossible. 

It will be contended that the plan is ideal but complicated. 
The answer to that is, that it is a general plan suggestive only 
of what co-operation and co-ordination must be and that it 
practically can be developed into successful operation, just as 
the United States Steel Corporation, the Standard Oil Corpor- 
ation and the United Tobacco Corporation assembled their parts 
together and operate them. No one man, nor a few men, can 
bring this great development about. The Educational Farm 
Movement must grow and develop men first. Out of those men 
the great business structure will come. The main purpose of the 
plan is to develop co-operation from the bottom or from the 
roots rather than from the blossoms and leaves as the farmers 
have to a great extent heretofore undertaken to do. 

Please note the Credit Circle. Within this item of credit 
there are tremendous possibilities and awful dangers to the 
farm movement. How to properly and safely co-ordinate with 
any credit system and not involve the land too much in debt 
will require the most careful thought and wisdom. The distri- 
bution or dispensation of credit for the next five years at least 
will be the most important item in American Economy whether 

167 



in Canada or in the United States. The railroads will require 
at least Five Billion Dollars additional credit during the 
next five years. They will require one-half of this in order to 
bring their equipment up to the needed standard to provide 
for the development of our expanding commerce. It is sug- 
gested that the Government endorse the railroad corporation 
equipment notes both as to principal and interest or, in other 
words, that the Government shall extend its credit to the rail- 
roads. 

There is much talk about "pooling" these days. The farm- 
ers are discussing "farm products pools" to insure conditions 
which will stabilize prices. The farmers desire to use a device 
of commerce for themselves, which at least, so far as they are 
concerned, has been a commercial outcast for years. The farm- 
ers have consistently fought "pooling" for more than a half 
century in this Country. Their opposition centered against it 
as an engine of "monopoly." Now it may be that human nature 
has become so idealistic as to make it safe and prudent to begin 
to resort to the "pool" as a device, but, will the public now ac- 
cept it confidently? Experience, of course will demonstrate 
that fact. 

For a long time — some say a generation and some predict 
even a longer time — finance will be the real "pool" the farmer 
should think about. We believe that farmers will insure more 
certain favorable results in the way of profitable prices for 
farm products if they watch and insist upon a participation 
in the "World's Credit Pools" that must and will be put into 
operation. The railroads are demanding their share of the 
"Credit pool," and likewise the Merchant Marine; so why 
should not the great machine of productive power have its due 
share? It must if it is to succeed. This farm produce problem 
and the credit problem for a long time, at least, will be a world 



168 



problem and not a local problem alone. We commend any 
feasible method intended to bring rural justice, but, we must 
be careful not to step on dangerous ground lest we retard the 
movement. We desire, first, to see that the Governments of the 
World provide adequate credit for moving farm products. 

Here is a point the farmer must not overlook. The Kail- 
roads and Merchant Marine are Co-ordinated parts of "Farm 
products" distribution. Shall we subsidize them? The farmer 
says NO ! We will dismiss the unpopular word subsidize and 
then ask : "Will we extend Government credit so they may be 
co-ordinated to function to the maximum ?" Yes! Now let the 
farmer be careful to discriminate as between debt on land and 
credit to market the products of the land. Let us dismiss the 
word "pool" that really does not express the requirement and 
use instead the more expressive word "Co-ordination" 

During the next five years the farmers will not be able to 
provide all of their own credit and should not undertake it. 
Under this business plan, however, each unit can provide for a 
great deal of local credit but after that is done, liquid credit 
should be provided as far as possible (and resting as little as 
possible upon the land itself) through the agency of the War 
Finance Department or the Federal Reserve Banks. This 
Central Credit Board should be able, through knowledge of 
agricultural affairs in the state to instantly acquaint the Gov- 
ernment with the necessities of the situation and place it in 
position to safely render speedy relief. In order to do this, 
local bankers should first be taken into consideration; they Tn 
turn should develop it through the metropolitan banks and the 
Government. The providing of credit in an emergency is a 
Government function and is not an attribute of Socialism. 

Any system of credits that does not provide that all local 
co-operative activities shall provide their own capital — enough 

169 



to pay for the plant, the equipment and the original stock — will 
not be safe. Credit for local co-operative activites should be 
used to carry those purchases in transit or the floating mer- 
chandise or goods and no further, each community taking care 
of itself. When it comes to marketing of products like the dairy, 
the grain, the livestock, where storage, aging and distributive 
processes come into play a different problem presents itself. 
Any system involving the endorsement of cooperative notes by 
individuals, or by mortgages resting directly upon the land, 
with personal endorsements is apt to bring discomfort and 
trouble in the end. It may be noticed that the railroads and 
the steamship lines are not asking Mr. Morgan or Mr. Eocker- 
feller or Lord Eothschild to endorse the Paper for institutions 
of which they are the largest stockholders and in the manage- 
ment of which they are almost supreme. The liquid credit of 
the great farm business cannot afford to rest upon the per- 
sonal endorsement of a few individuals. It may safely be re- 
posed under a Co-ordinated system in a Co-operative Business 
Plan. 

In the last analysis credit is debt. The credit system is as 
much the breeder of misery as it has been of prosperity if not 
properly and equitably adjusted. This is why the Mortgage 
Banks are necessary for the land and the Credit Societies are 
necessary for the products. Credit is a public function. It 
is one function in which Government can legitimately engage 
and while the War Finance Department is supposed to be tem- 
porary, we believe that it will be made permanent in order to 
meet further emergencies in the distribution of the products of 
the soil. No other agency but the Government is powerful 
enough to extend the necessary credit to do this thing in this 
age and under the conditions now obtaining in the world. 

The farmer argues much against water in railroads, staam- 

170 



ship lines and general industry. Much of this so-called water 
is what you would call "overly expanded credit" The farmer 
should not get the notion and catch the disease himself. A 
level headed farmer, Mr. J. G. Ingle put it well with regard to 
the North Dakota Consumers Stores when he said "it is a case 
of getting a lot of experience by signing notes." 

The American Co-operative Association was one of the 
great national business enterprises that grew out of Co-opera- 
tive Education along wrong lines and not only became so un- 
wieldly that it wrecked itself, but has lost to its stockhold- 
ers probably One-Half Million Dollars, whereas if it had been 
properly organized and co-ordinated under more democratic 
control it would have become one of the most powerful agencies 
of profit for the farmers in this country. Many farmers in this 
state are now being sued on notes to pay for "dead horse." 

The American Co-operative Association was the business 
Agent of the National Union of American Society of Equity, 
and while unwieldy and un-coordinated, would have worked out 
to the farmers profit, had it not been for the Socialist crowd 
that finally went over to the League and to the Consumers 
Stores idea. It is only thru a Coordinated Cooperative plan 
fairly bringing all true Cooperators into a League in this state 
that a fair degree of success may be attained. Read the history 
of farm movements and you will be convinced that this is true, 
and that it is just to sound the alarm at this time. 

Finally, all plans will fail utterly and ignominiously that 
do not take human nature into first consideraton. All co-oper- 
ators must be engaged through sympathy, enthusiasm and good 
will, and above all this, rightly directed energy and all these hu- 
man sentiments and attributes must be directed to prevent the 
bane of the farm co-operative movement — jealousy- No compro- 
mise on Socialism; every compromise to bring proper Co-opera* 

171 



Hon and Co-ordination not only between farmers and their busi- 
ness but also between the owners and managers of capital in all 
other kinds of industry and the farmers. 



172 









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.«COOPERAW)N 



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RAW MATERIALS 
AIRY FEED5 

fertTlT^ers 

MACHINERY 
— FUEL 



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SOIL 



CHAPTER XV 



THE NON-PARTISAN 
LEAGUE AND SCIEN- 
TIFIC OR MARXIAN 
SOCIALISM. 

Our study of the Non-Partisan League logically forced us 
to the conclusion that it was necessary, in making an analysis 
of the Non-Partisan League to take notice of Scientific Social- 
ism. 

Unless it can be clearly shown that the object of its leader- 
ship is to bring the American farmers over to Scientific So- 
cialism, and to bring about a common ownership of land in 
the State, or Nation, with all the attending evils and the con- 
sequent disaster to our National life that this would entail, it 
would not be necessary to write even this brief treatise on the 
subject of the League. Now therefore — What is Socialism? 

There is but one kind of Socialism that may justly give 

concern to the people of this Country, and that is Marxian or 

Scientific Socialism. Professor Thorstein Ebelin says : 

"No one is seriously apprehensive of any other so-called 
Socialistic movement, and no one is seriously concerned 
to criticise or to refute the doctrines set forth by any 
other school of Socialism." 

All other kinds of Socialism are but modifications or 
brands of partisan political expedients used to catch the un- 
wary and the restless in the spider web of Scientific Socialism. 
They merely serve as means to attain the end. The eight hour- 
day, pensions for mothers, pensions for the aged, unemploy- 

173 



ment insurance, primary laws and other policies are not in 
themselves Orthodox doctrines of Scientific Socialism. They 
may be, in fact are, manifestations tending towards Socialism, 
and they are advocated by Socialists, because they tend to 
bring sympathy towards their movement and besides, they tend 
towards the Socialist state. Scientific Socialism is a contrivance 
to bring about only that production necessary for the general 
public needs. There is no surplus for replacement of capital 
or for interest as that is already deducted by the State out of 
labor and all replacements and improvements are made by the 
State out of labor. 

The least number of hours worked, and the greatest num- 
ber of hours for enjoyment and leisure, is a cardinal doctrine 
in the Socialist program, therefore the eight hour day or the 
forty-eight hour week all tend towards the attainment of the 
main object. Pensions for mothers or for the old tend in the 
same direction, in that they take away some of the natural in- 
centive towards independent thrift. Unemployment insurance 
has the same general tendency. These are policies of economy, 
good or bad as you will, that are suggested by political expe- 
diency. Under the Constitution of our Republic they may be 
adopted into the laws of the land, in the interests of the gen- 
eral welfare of all the people. The State, as the guardian of 
the wellbeing of its people is, in the last anaysis, supreme. 
These policies do not take away, nor should the fact that they 
may tend towards Socialism dissuade the State from doing its 
full duty in this point. Socialists, however, employ these pol- 
icies to attract sympathy to their movement, and to assist them 
in riding into power, and in many instances, much is ac- 
complished to alleviate the "ills that flesh is heir to." The 
object of Scientific Socialism, however, centers and grows( 
from the main idea "Social Labor Power." This must n)t 



174 



be lost sight of for a moment. This is the way they sugar-coat 
the "pill." 

Briefly, the fundamental principles of Scientific Social- 
ism are embraced within a system defined as the doctrine of 
"the Economic or Materialistic Conception of History" and 
"the theory of Surplus Value" or as it is sometimes concretely 
expressed, the doctrine of "Economic Determinism." 

The "Economic or Materialistic Conception of History" 
defined, means that all things pertaining to the welfare or hap- 
piness of mankind exist in and are derived from the manage- 
ment, operation or utilization, of the material things of na- 
ture, and that the idea of the spiritual is a mythical fraud 
perpetrated upon the people by systems of religious beliefs 
and superstitions. A study of the words as found in any stan- 
dard dictionary, will give its meaning. The conception of this 
idea is claimed to have come from Marx, and Engels holds that 
Marx is not only the author of the system, but the development 
of the system has exalted Socialism into a science. The whole 
structure is based on the material ; all is sensual ; all is atheis- 
tical; all is controlled by a so-called science and nothing is 
ruled by faith. 

The other twin principle in the Economic theory of Scienti- 
fic Socialism is "Surplus Value." As defined by Scientific So- 
cialism, it is that part of production of which labor is systema- 
tically robbed through the operation of the capitalistic system. 
Proudhon — the Socialist- Anarchist — claims that all "private 
property is robbery," because all property is the overplus of 
labor appropriated to capital by the employer of labor, and 
which creates a value for capital, which, when reinvested 
grows into more private property; all of which constitutes ac- 
cording to Scientific Socialism a colossal system of robbery. 

175 



The theory upon which Marx founds the idea of Surplus Val- 
ue is: 

"That the mass of private capital inherited from 
early times rests originally on conquest, the dispossession 
of former owners, and of peasant farms, plundering of 
colonies, abuse of political power, protective duties, divi- 
sion of ecclesiastical or church property and so on." (Dr. 
Schaffle). 

This is a tenet of Scientific Socialism, viz., that all pro- 
perty having been taken from preceding generations, the peo- 
ple have a right to take it back, even by force. It is held that 
the returns on capital out of which private fortunes are amas- 
sed is a "superfluity" and is taken from the products created 
by labor, hence the robbery; and the "Surplus Value" is that 
part of the wages due labor which is wrongfully appropriated to 
capital. 

Scientific Socialism therefore overturns every idea of mod- 
ern civilization. At one fell swoop like the avalanche which 
carries everything down the mountainside into the bosom of 
far away seas, so Socialism would sweep away the achieve- 
ments of centuries of growth toward political light and truth 
and finally deposit it in the bosom of anarchy. 

Marxianism is the foundation — the Soul too — of Scientific 
Socialism, which is based upon the state or government owner- 
ship and control of every means, instrument, method or agency 
of production for private profit — particularly of land. This 
involves the human being in a real and absolute bondage. It 
is revolutionary in every attribute, whether it be considered 
from the standpoint of a revolution in an economic or political 
system, or the same revolution achieved through bloodshed and 
anarchy. 

It is right to say that no subject engrossing the attention 
of the public to the extent that Socialism does, is more com- 

176 



pletely misconceived or misunderstood. The present leaders of 
Socialism are generally dishonest, or in other words, they hold 
that "any end justifies the means" and in order to carry out the 
historic, or rather traditional policy and methods of proselyt- 
ing used by its leaders, they resort to every conceivable method 
— either intellectual or physical — to influence the mind or to 
force their revolutionary doctrines upon the helpless, whether 
in the field of economics or in that of politics. In order to ac- 
hieve this work most efficiently, Marx, with an adroitness and 
ability scarcely excelled, devised and enunicated a system 
which, if it could be put into practical effect, was intended to 
completely overthrow Christianity and all of its moral and 
ethical teachings and to break down every safeguard to modern 
society that grows out of it. 

It is necessary to consider, for a moment, somewhat in 
detail the method so conceived and enunciated. First, all hu- 
man effort or means of producing the necessities of life, or of 
usable wealth or commodities are to be achieved by, and ex- 
changed in human labor. All productive capital is to be co i- 
fiscated or dissolved and made essentially communistic in the 
Socialist State. The aim of Scientific Socialism is first to 
bring land under the absolute dominion of the State. To a J 
hieve the Socialistic State, the most complex — and yet, in viev 
of the tremendous revolution sought to be achieved by it — a 
really comprehensive method or system of calculation was de- 
vised, or in other words "social labor power," is to be the unit 
of effort, or of value in all cases. "Social labor power" is the 
best understood if compared, though differently applied, for in- 
stance, with the term "horse power" as related to mechanics, 
therefore, under Scientific Socialism all economic policies and 
laws would be fixed arbitrarily, and the people would have but 
the right to select the administrative officers of the Socialist 

177 



state. This really does away with the necessity for universal 
suffrage, except in the selection of officers. All laws and rela- 
tions of humankind are enveloped in the womb of "Social Labor 
Power. " All labor force or power, or if you will "man power" 
(used in the same sense as horse power) would be distributed 
arbitrarily throughout the wide area of production. There 
would be no money in the Socialist state ; no value in exchange, 
except "certificates of social labor power." In this way per- 
sons would be as mechanical units, having at all times to agree 
and consent to be removed, transplanted, or taught anew by 
the administrative officers of the departments under which 
they worked. All necessaries would be drawn from a Central 
Storehouse or reservoir. The individual would wither into a 
sort of nothingness; a man would be a human kilowat. 

Under such a system all wages or earnings, or the emolu- 
ment flowing from individual labor, is arbitrarily fixed by an 
administrative body, and only the average value of "social 
labor power" would be taken into consideration in the final 
analysis. There is therefore a levelling of all human talents. 
True, some Socialists argue that professional men and women, 
such as physicians, lawyers or clergymen are to be given an 
extra allowance from the general storehouse of necessary arti- 
cles, but on the other hand, except in the most needful arts ne- 
cessary for the wellbeing of the Socialist state, very few of the 
higher professional arts would be nurtured, and in view of the 
fact that the high priests of Socialism such as Marx, Engels, 
Bax, et. al. preclude the idea of Christianity, and as they fur- 
ther undertake to arbitrarily fix all the relations of human 
beings in a social straight jacket, clergyman and lawyers would 
be unessential and not needed in the Socialist state. All this 
talk about extra allowance for talent is futile, and merely to 
gratify or deceive those who still foolishly cling to the idea 
that there in an analogy, and a compatability between Scienti- 

178 



fie Socialism and the modern civilized state. 
UNDER SCIENTIFIC SO- 
CIALISM WHAT IS LA- 
BOR AND HOW 
WOULD IT BE DISTRI- 
BUTED IN THE SOCIAL- 
IST STATE? 

First, the individual laborer is but a cog in a wheel ; a very 
small part of a big machine. He cannot be an individual en- 
tity when it comes to his labor, but on the contrary he must be 
merely an integer in the whole mass of labor out of which is 
computed or reckoned the total mass of "social labor power" 
Under the Marxian system, labor is made solely a commodity, 
as nearly as it is possible to do it. Labor, itself, is a National 
or State attribute; the problem of labor is under the complete 
dominion of the State; labor is distributed under abitrary di- 
rections of an administrative body or set of men authorized or 
elected by the State for that purpose. 

Let us make a simple illustration: A certain number of 
laborers are assigned to one kind of production or another, 
such as 10,000 laborers assigned to making shoes, 5,000 to mak- 
ing clothing, 200 clerks for the distribution thereof, etc. etc. 
Then the State having regard to notions peculiar to Social- 
ism only, assigns that number of laborers to the land neces- 
sary for the production of foodstuffs and raw materials to ade- 
quately provide for the people. Each laborer making shoes 
would receive evidence certifying to the social labor power ex- 
pended in making shoes, so with each individual making cloth- 
ing, etc. etc. All supplies would be in the Central store or 
warehouses, and through a system of interchangeable distribu- 
tion and bookkeeping all would be done, much as our banking 
system does its work through clearing houses. Credit or ad- 
vances of labor power might be given. 



179 



Let us take a broader and bigger field for illustration : The 
total population of the United States is approximately 107,- 
000,000 people. Under the Socialist State the United States 
would have no account with capital. There would be no pro- 
ductive Capital. Workers would be distributed in the various 
districts according to the judgment of the State, whether from 
one great central body or from districts through which they 
worked. In 1919 there were fifty million workers in industries, 
in transportation and distribution. The amount of manu- 
factured products, as the result of industry was twenty-four 
billion dollars ($24,000,000,000.00). The value of farm pro- 
ducts nearly twenty-one billion dollars (f 21,000,000,000.00). 
The cost of transportation and distribution of it all was nine- 
teen billion dollars (f 19,000,000,000.00). Under the Socialist 
state this production and distribution would be completely 
changed. There would be no capital, therefore no interest, no 
rent etc., etc. This huge labor production would be exchanged 
in certificates of "social labor power," no matter what the in- 
dividual vocation of the person. At once this is seen to be im- 
practical ; we know that, but after all, it is this distribution of 
labor, by exchange in its kind that is the foundation of the 
Socialist state and all things proposed by Socialists intelligent- 
ly lean in the direction of its achievement. In the total of 45 
billions of manufactured and farm products under the Social- 
ist state, nothing would accrue to capital, therefore values 
would be very much less (or only the value necessary to ex- 
change them in use) than under the present system, and the 
vast number of workers would be as cogs in the machine pro- 
ducing this wealth. This is exactly what was attempted in 
Kussia under the All-Russian-Soviet-Federation and the re- 
sult was utter chaos and ruin to industry, the farm business 
and its National life. 

Within the compass of this idea lies a subject worthy of 

180 



the deepest consideration of every young farmer in Wisconsin. 
The workers of the soil could not be owners of the land. They 
would be distinctly in a minority. Under such a system the 
tillers of the soil would become the mud sills or the underclass 
in the social life of the world, in short, they would become 
slaves and serfs. Men and women would not be arbiters of their 
own vocations or professions. All of this would be fixed by 
the State. Marx expresses the idea as follows : 

"The total product is a social product. Part of this pro- 
duct serves to replace used up capital as a means of pro- 
duction. The remaining social state part must be consum- 
ed by the members of the community and hence must be 
distributed among them" 

This annihilates all idea of private ownership in land or 
property. This definition puts "social labor power" in a nut- 
shell. It may be assumed, that the share of each producer in 
the necessaries of life, will be fixed by the time he works. When 
not working, he may be given credit on the books of the general 
storehouse. The time»of the individual work would serve both 
as the measure of the producer's share in the common labor 
and also the measure of his share of the common product for 
individual consumption. The levy or taxes necessary to main- 
tain the Socialist state would be paid out of the mass of social 
labor power and public and professional services would be paid 
in the same way. The medium of exchange would be interchange- 
able certificates of labor power. Here is where most people fall 
down in their conception of Socialism. All persons are given 
credit for exactly what they do. When it comes to the distri- 
bution of products for the purpose of maintaining human life, 
the weak is supposed to be paid sufficient to maintain the life 
of himself and family, whether he earns it or not, but it is plain- 
ly to be seen that under such a system all talents of the higher 
order are leveled to the lower order. Scientific Socialism has 



181 



the effect of equalizing brain power, and increasing and exalt- 
ing muscular power. Herein lies their system of overcoming 
the spirit with matter. True, Scientific Socialism more speci- 
fically applies to industry as represented by our modern fac- 
tory system; not so in Kussia, however, where the peasant 
farmers were dispossessed of their lands and 15% industrial 
workers ousted 85% of farm peasants. 

Scientific Socialism was born in the old world, where the 
tillers of the soil had been for centuries actually in large ma- 
jority serfs or slaves. The transplanting of the system to 
America brought a change. Leaders of Internationalism were 
shrewd enough to see, that under no consideration could their 
program be finally achieved in the world, except through the 
common ownership of land, and the making of the tillers of the 
soil, veritable serfs, hence the interest of industrial workers to 
bring farmers into the Socialist fold. To achieve this, mil- 
lions are spent annually to propagate the Single Tax idea 
which was perfected by Henry George and is being prosecuted 
energetically by the Fels Foundation. In the early days, with 
its great area of cheap lands, America did not prove a fertile 
field for the Single Tax, but now is the time for the harvest for 
the Single Tax, from the Scientific Socialist standpoint. They 
perceive that their system gradually brings about tenantry, and 
from tenantry to Common Ownership of Land is but a step — 
and a mighty short step at that. 

Scientific Socialism presupposes an international indus- 
trial process, and Dr. Schaffle declares that the international 
is founded upon the Marxian dogma which is exactly quoted as 
follows : 

"To replace the system of private capital***by a sys- 
tem of collective capital, that is, by a method of produc- 
tion which would introduce a unified social or collective 
organization of national labor on the basis of collective or 

182 



common ownership of the means of production by all the 
members of society. Thus, all wealth and the distribu- 
tion of wealth, all capital and lands shall in the complete 
essence be the common property of the whole community" 

Summarized, Scientific Socialism is highly immoral, in 
that from the Christian and American standpoint, it extols 
the wrong and discourages the right. It is un-Christian, in 
that it encourages mankind to scoff at and reject, yes — break if 
you will with impunity — each and all of the Ten Command- 
ments of God, which are the foundation underlying all righ- 
teous systems of law, of order, and of justice, and upon which 
is builded the edifice in which reposes the right relationship of 
humankind. Scientific Socialism is un-American, because it 
teaches treason to a government of laws emanating from the 
people, administered by the people, in the interests of all the 
people ; treason because it undertakes to teach a scientific way 
of undermining and destroying the only free republic which 
has so far existed, and which is the "last best hope of earth." 
The fact is, Socialism is the antitheses of, and is destructive of 
every principle of our American state, builded upon the endur- 
ing precepts of Christ, and the political philosophy of Adams, 
Franklin and Washington, and developed by the profoundly 
wise statesmanship of Hamilton and Jefferson, and finally sav- 
ed by the superb heroism of Grant and the foresight of Lincoln. 

*********** 

The foregoing statement relating to Scientific Socialism is 
but an outline. It embraces, however, all of the underlying 
tenets of their system. Certainly their title "The Economic or 
Materialistic Conception of History" is expressive of their sys- 
tem. Under such a system practically applied the American 
republic could not have been founded, or under such a system 
approximately brought within the purview of Scientific Social- 
ism the American form of Government would be uprooted 

183 



and destroyed. Therefore some fundamental proposals are 
herein made, as to whether Scientific Socialism has the 
effect of doing those very things, and the headings which 
precede, in this little treatise are meant merely to take 
up and consider in a brief way the exact effect of Scienti- 
fic Socialism, particularly as it relates to the land, for it can 
be clearly shown that the National Non-Partisan League under- 
took directly and specifically, to bring the government of the 
people of North Dakota absolutely within the purview of Scien- 
tific Socialism, and thus under the dominion of its administa- 
tion. Then they undertook to plant the nefarious system into 
other states. It was brought into Wisconsin "Hell bent Tippe- 
canoe and Tyler too." It is inconceivable how farmers, living 
upon the free-owned homesteads and preemption claims in old 
Wisconsin, the inheritance of the hardest working set of land 
pioneers the world has known, could lend themselves in any 
way to nurture and promote the program of the Non-Partisan 
League among them. It was not understood or it would not 
have been done. The program of the Non-Partisan League is 
in its very essence the soul of Scientific Socialism. It is the 
militant agent that is engaged in the work of dispossessing 
the farmers of their splendid heritage. For more than half a 
century the farmers have labored to subdue the forests and the 
wilds of this great State and now, when they might enjoy the 
wealth that comes from their labors, according to official sta- 
tistics nearly 15,000 of them joined the Non-Partisan League, 
and in doing so endangered themselves and their property, by 
throwing their homesteads and their liberty into the universal 
jack pot which is being demanded of our American citizenry. 
The only object in making this treatise on Socialism is to shovi 
that the ISf on-Partisan League is the very soul of Scientific So- 
cialism applied to land and the farmers. 

184 



